If the U.S.A. is the most powerful country in the present? Why is it that the U.S. dollar is not the highest Currency in the world?
2006-07-30 15:25:43 · 9 answers · asked by sherwin 2 in Politics & Government ➔ Other - Politics & Government
It's a trade deficit. We buy a bunch of stuff from other countries, they don't buy a bunch of stuff from us.
2006-07-30 15:28:17 · answer #1 · answered by MEL T 7 · 1⤊ 0⤋
Its not an answer that's going to give you warm fuzzy feeling inside, but back in 1913 a bunch of bankers created a scare in the banking market and then came up with the idea of creating a central bank or the Federal Reserve. So now there was an organization that could print more money when they needed it.
It was something Andrew Jackson fought his entire political career against, it's even carved on his tombstone. Truman, the president who signed it into law, lamented it on his deathbed saying he unwittingly ruined his government.
The founding fathers set up the government intending that precious metals would be coined and that woud be the only true currency. Since the creation of the Federal Reserve and our subsequent move off the gold standard to fiat currency the dollar has devalued by 95%. Its a very interesting story there are some documentaries about it in the link below.
2006-07-30 22:43:40 · answer #2 · answered by Jared H 3 · 0⤊ 0⤋
People trade in money like they do in stock. China keeps the american dollar artificially strong so we can buy their products. Having a strong dollar isn't necessarily a good thing. If the american dollar is worth less than the british dollar then british people are more willing to buy american goods. A week dollar is good for manufacturers and bad for american consumers.
2006-07-30 22:30:39 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Probably because we have a joke for a president who has flushed the country down the toilet. Blame Bush.
2006-07-30 22:30:04 · answer #4 · answered by diyta 4 · 0⤊ 0⤋
What is a high currency?
2006-07-30 22:29:01 · answer #5 · answered by Pancakes 7 · 0⤊ 0⤋
Because their economy has gone down the toilet.
2006-07-30 22:28:18 · answer #6 · answered by Oli 3 · 0⤊ 0⤋
it isn't the most powerful or largest or most populated so why should it be.. are you a hitler in training or something?
2006-07-30 22:27:07 · answer #7 · answered by tomiyo 4 · 0⤊ 1⤋
look who we have for president that should answer your question
2006-07-30 22:29:09 · answer #8 · answered by wil_t52 6 · 0⤊ 0⤋
"It's the economy stupid!"
2006-07-30 22:27:30 · answer #9 · answered by Salem 5 · 0⤊ 0⤋