[zvezdah1]

HI All,
Today, the dollar hit an 11-year low against the pound. Now a $1.74 to the pound. If this keeps up it's certainly going to affect the price of the car!!

Chris

 

[smoseley]

AND the economy !!!

A weak dollar will do wonders for us in many ways.

Stop complaining. You can't have it all.

 

[MikeAR303]

Thank you very much Dubya.

 

[JBurer]

You should do some more research into macro economics! Overall, a strong dollar is desirable.

For an insightful paper on currency, I strongly suggest reading Soft Currency Economics

Best,
John
PS If you want to hold the price of your Elise constant, there are financial instruments available to do so

AND the economy !!!

A weak dollar will do wonders for us in many ways.

Stop complaining. You can't have it all.

 

[FederalElise]

A weak dollar is good for US exporters, bad for importers selling good in US.

It's what happens after years of buying more from outside then selling.

 

[ivan1]

HI All,
Today, the dollar hit an 11-year low against the pound. Now a $1.74 to the pound

Chris

Great to hear as I am flying to London tonight I guess I won't be looking for any bargains....

 

[Modern Wedgie]

Re: Re: Dollar hits 11-year low against pound

Great to hear as I am flying to London tonight I guess I won't be looking for any bargains....

Everything here is painfully expensive. Have fun!!!

 

[Randy Chase]

A weak dollar is good for US exporters, bad for importers selling good in US.

It's what happens after years of buying more from outside then selling.

This morning I have a trip to my bank scheduled for a wire transfer to pick up 500 more DVDs from the UK.

 

[babak]

Rendezvous DVDs?

 

[Randy Chase]

Rendezvous DVDs?

Yes. Sort of a silly thing really. I have been a fan of the film for many years and was thrilled when it came out on DVD. So I bought one, and liked it so much, I bought hundreds more.

There has been no publicity about this DVD yet. But there was talk about it on a morning radio show in Ontario. That day I was flooded with orders from Ontario. Maybe a hundred DVDs. The studio is planning a promotion push soon where they will get publicity. I figure when word gets out in Los Angeles and New York and other US cities, the demand will be large.

And then there is the question of how many I can sell directly at the LA Auto Show. I am hoping at least a few hundred.

Importing and buying is a hassle though. This order is for 500 more. I would like to get my prices down by picking up 2000 DVDs...if I was sure I was going to sell them all.

 

[BrianK]

That day I was flooded with orders from Ontario. Maybe a hundred DVDs.

Do the DVDs work over here? Don't they have regional settings that prevent them from being played in the US?

 

[Randy Chase]

Canada and US are both the same region and both NTSC.

 

[MikeAR303]

Canada and US are both the same region and both NTSC.

But aren't DVDs from the UK in PAL format?

 

[Randy Chase]

These are PAL or NTSC.

 

[MikeAR303]

These are PAL or NTSC.

Ahh... gotcha.

Double sided?

 

[agent.5]

A weak dollar is good for US exporters, bad for importers selling good in US.

It's what happens after years of buying more from outside then selling.

But US does not export much of any manufacturing goods anymore, the number one export of the US is debt.

 

[smoseley]

You should do some more research into macro economics! Overall, a strong dollar is desirable.

For an insightful paper on currency, I strongly suggest reading Soft Currency Economics

John,

I'm very familiar with Warren Mosler and his Soft Currency Economics theory. I'm also a big fan of his latest automotive project, the MT900 (not to mention the Raptor, which was pretty sweet, too).

If you had read his theory in detail, it states (in simple terms) that money is either held by private institutions (people, companies, etc.) or public institutions (government) or is overseas (other countries). Our dollar is weak in this case because the money is in corporations and overseas (too many imports, too little exports).

A weak dollar will be good for our economy (in general) in the long run because it will decrease imports, increase exports, and increase "Made in the USA" purchasing. That will subsequently lead to more jobs in the USA and more spending all around.

 

[Derek]

There are two sides to ever coin it just depends on how you look at it. As far as directly related to purchasing the Elise a weak dollar is bad. That is assuming you want to part with less money to do it. Some of us may benefit from a weak dollar in other parts of our lives and this may offset paying more for the car. But we cannot debate each person’s financial position.

Bottom line is this: If you’re buying something overseas and the dollar is weakening against the manufactures currency, then it will cost more dollars to purchase the product.

 

[FederalElise]

But US does not export much of any manufacturing goods anymore, the number one export of the US is debt.

We export around $700 billion a year in the form of automobile, computers, communication equipment, medicines, etc etc. Annual debt increase is no where near that amount.

 

[agent.5]

We export around $700 billion a year in the form of automobile, computers, communication equipment, medicines, etc etc. Annual debt increase is no where near that amount.

True, but misleading. US will have about 550 billion in Federal deficit this fiscal year, plus state and local bonds, plus corporate bonds and debt, plus consumer credit and mortgages. If you add up all the debt that the United States generate, you are talking trillion dollar plus a year. And with the Federal Reserve purposely devalue the dollar to "stimulate" the economy and prop up the stock market indexes, you should expect further dollar weaknesses, and further rise in all commodity pricings, such as oil, gas, insurance, and health care.

Here's a sample from today's Wall Street Journal:

"Record Junk Bond Issuance"

"The deluge of junk-bond issues continued, with five offerings totalling $1.6 billion. The pace isn't about to slow, either ,with at least $7 billion more expected throught the end of the year."