Is our currency worthless?

Question

Like what The Iranian president is saying!!!

Answer 1

completely

oh, my, god, i'm the 1st answerer to the #1 answerer's question.....i feel special

= ]

Answer 2

all 'currency' is worthless unless it is tied to the gold standard, which we did in 1913 (i think). otherwise it is only worth the paper and ink. the only value it has is that of the confidence the people have in it, and the agreement we all ascribe to by using it and relying on the fact others will accept it as valuable. if the people lose that confidence that the government (or banks) behind the currency gurantee its value, then it just becomes decorated paper. (look at the revaluation of the mexican peso, or the value of the ruble after the fall of the soviet union- weak government=less/no confidence the currency has value.)

but the iranian guy is an idiot, and he stands to gain if the dollar loses value since he on top of a bunch of oil that he can sell to the chinese.

Answer 3

Its not worthless because it is still used for trade. If you look at forex /currency exchange rates and z scores on the popular usd/ cad exchange everyone talks of, the usd has a confidence level of 5%. However, the truth is 80% of currency market is speculation and 20% is real spot transactions taking place, like you and me in america buying a gadget made in Europe (shaver or something) , well the profits in this country have to be exchanged to European currency. Same with Canadian currency. If we buy oil , we pay oil companies. Its not like major OPEC countries have not had their exchange rate go up, but Canada has a significant amount of natural resources and oil interests in the west of their country.

Ok so if we buy oil the canadian oil company must exchange their profits made off of us into canadian currency. In general the bigger that dominant industries profits are, the more US dollar on the market supplied and less Canadian money available, which is in demand.

The z score confidence level in the US dollar vs. Canadian pair is about 5% for those who know statistics. That was measured against the monthly average window for 3 years. These are low holding levels for such a large economy.

Truth? speculators are making more money in other countries.

Truth? with recent volatility in USD it has higher risk, fundamentally and technically, however it must rebound as people need our currency to buy our goods or any sold in this country. With all the people getting rich overseas, they will take profits or even there dividends earned over seas and get it converted to USD , that is why USD being worthless makes no sense. We have SOME OF THE RICHEST PEOPLE IN THIS COUNTRY. Our currency is needed for spot transaction to buy goods here if one lives here, and some of the largest trade is still with the U.S.

Worthless? no . Backed by almost nothing and risky? yes that is the truth. Its strength is drawn on the world now.

Oh and another thing, many countries recognize our education institutions, you go to school in the U.S. you will pay in U.S. dollar. If you do not have it, you must convert it, making demand for USD to go up some in the short term.

Answer 4

In my opinion, it is really depend on where you are investing. I know the foreign currency like china is worthless compare to us currency if we are talking about value. and ya, the Canadian currency value has been brought to the top you all.. Don't hate, get over it. lol..and I hope they are not trying to take over the world like you know who. lol.

And for the Yapese currency money value, it is higher then any foreign or US dollar value but you can't bring with you to the store, gas station or even on the plane. Think about that, how much do I want to value that. Goodness.. Smile.

Answer 5

I would say yes and no. For example, it is worth it it because we can get things we need with it but than again the penny costs more to make than it's worth. Sometimes I think what the world would be like without money but than people work for nothing which doesn't seem fair. I guess our currency could be better but it's still pretty good if you ask me.

Answer 6

Our currency has lost its value in the International markets, that's for sure. However, I would NEVER call it worthless. All currencies fluctuate and yes, our currency is hitting a low here, but worthless? NOPE! ♥

Answer 7

I am Canadian. Our dollar was 63 cent to the American dollar three years ago. Now it is 1.04 and climbing.
Get ready for a big collapse of the dollar US. When the paper comes home it will drop fast. I expect China to do it. Right now all trade with China is in American Dollars. If they switch your dollar is not worth more then 10. cent of present value because that is all the Federal Reserve has backing it.
Ron Paul is the only one talking about this in American Politics.

Answer 8

yes, but not knowing what he said, would have to say:

Worthless in a totally different way, ever since we removed the gold standard, and then the silver standard, thank you federal reserve system... equated to trimming two zero's off the currency, I've known people who used to get a living wage in the horse and buggy days, and then earning a dollar a day meant something, as that person was rich.

Hence the "Another day, another dollar"

as always great question

Answer 9

no is just that we aren't as good as we used to be those Europeans put their heads together and come up with euro which worth almost twice as much as our money but there were different countries that joined to create euro and we are just by ourselves with dollars.I think the government should have some national reserve cut down on wars and stop lending out money to other small countries knowing that they won't pay back we have to help ourselves before we can help others we are not as rich as we used to be and the technology that we were once the best in the world other countries is learning how to master it and some country even came out with a better technology than us.

Answer 10

The Iranian president says a lot of things... he wants to start trouble... dont listen to him he doesnt even run his own country really

Answer 11

It would be dumb to call the Dollar Worthless, But its just that its going through a very bad phase right now, that does not make it worthless.