Why doesn't the Bush Administration care about the falling dollar?

Question

The dollar is radically diminished in the world since Bush took office. Today the Euro closed at 1.48 - it was approx 0.92 before he took office(?) - The Australian Dollar was approx 0.48 and now it's 0.87 - and the dollar keeps falling and falling. The Dollar used to be viewed as the standard that the world based their currency on, and now the Euro is the standard... I've had places tell me they only want Euros and they don't accept dollars. that's pretty terrible. The Bush Administration hasn't even addressed this issue, and they haven't even mentioned it.
much if at all.

Answer 1

They do, they love the falling dollar, it's why they've made it fall.

Answer 2

a million. in accordance to the Congressional funds workplace, the baseline 2009 deficit the Bush administration bequeathed to the the country even as it left workplace changed into about $a million.2 trillion. 2. even if the baseline deficit purely takes into consideration guidelines which have already been enacted, and quite a number of different tax and spending variations that were followed on condition that Inauguration Day actually also could have occurred below a relentless Bush administration (or, for that count, a McCain administration). This incorporates yet another one-three hundred and sixty 5 days patch for the alternative minium tax and a supplemental appropriation for activities in Iraq and Afghanistan. those 2 variations on my own further about $2 hundred billion to the 2009 baseline. for this reason, without thinking something else, the version between the deficit which could have occurred with Bush contained in the White domicile and what’s happening with Obama is $2 hundred billion. 3. yet even $2 hundred billion probable overstates the version contained in the deficit which could have occurred had Bush been in workplace this three hundred and sixty 5 days and that one which will take position below Obama. Given the state of the commercial gadget on the proper of 2008 and the first 2 quarters of 2009, Bush fantastically a lot surely could have proposed a stimulus plan of his personal. bear in concepts, Bush changed into the president who in early 2008 proposed and pushed a $one hundred and fifty billion stimulus plan even as the commercial gadget didn’t look as undesirable because it eventually grew to change into. He’s also the president whose economic team effectively pushed for TARP as Wall street did its personal version of the China Syndrome and who did no longer something to provide up the Federal Reserve from borrowing for the AIG bailout.

Answer 3

Look I will try and explain how it works, using a metaphor

when the interest rate is low houses cost 3 time more than when interest is high, there fore the house never looses
same with the dollar because it is market driven and phony because it is worthless, it has no actual value, in other words if the country declares bankrupt all your numbers are gone and then you owe the bank, you can pay with your home, you paid $250,000.00, the bank then credits you $50,000.00 and you now owe $200,00.00 even if you had the deed in your hand.
The house never looses

Answer 4

Treasury Secretary Paulson, a Bush cabinet official, affirmed the "strong dollar policy" a few days ago. However, it is the Fed that sets monetary policy, but the administration and Congress are responsible for spending and borrowing, which is the real problem. The Iraq war has been funded entirely by borrowing, following Bush's tax cuts. In my opinion, Bush has mismanaged our country horribly, and we need a new administration with a new direction. Please let's not elect another Republican. They had their chance, and look where it got us. In debt over our heads.

Answer 5

As much as I dislike Bush, I really do not think he or his administration don't care about this issue. They are simply more preoccupied with other issues like terrorism and the war in Iraq. Besides, the whole issue about the falling dollar is being blown out of proportion at this point in time. It remains yet to be seen whether it has any serious ramnifications on the global economy as it pertains to the US well being. For example, Japan and China's currency are both respectively worth very little in comparison to other nations, but they both have excellent economies nonetheless. The overall economic power, I think, is what truly matters in the grand scheme of things.

Answer 6

Since majority of Americans do not go outside the country it is a way Bush can help pay back his friends and make some economic news look good....

Falling dollar =
1) higher oil prices for his buddies.

2) better trade gap numbers for United States
3) more attractive prices for exported American goods.

And as I stated since majority of voters do not venture outside the country they do not really notice the dollar is worth less.

Answer 7

this is a cycle for economics, as the dollar diminishes foreign investments into the economy increase, and America increases its exports because more foreign nations will buy American.

It will go back up

Answer 8

Why do you, it's not like you or Bush could do anything about it. It will pop back after the elections, it always does.

Answer 9

low dollar value increases export value. This is why the chinese have devalued their currency by almost 30%.

Answer 10

Because they are getting rich robbing the US Treasury and giving to to KBR and their other friends.

Answer 11

because they will be gone in a couple of years and they are rich, so what difference does it make to them if their $10 million is worth $9 million. besides, how do you know they havent invested their money in euros.