首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
How have the once reasonably priced holidays in Europe become to Americans?
How have the once reasonably priced holidays in Europe become to Americans?
admin
2022-08-25
53
问题
How have the once reasonably priced holidays in Europe become to Americans?
Americans crossing borders groan in dismay as they exchange their dollars for less and less in other currencies. Holidays in Europe, for instance, that once seemed reasonably priced have become the opposite. At home, the cost of imported goods has risen. And currency analysts say the dollar’s decline may continue for the foreseeable future because of a number of factors including the policies of the US government.
The "shrinking" dollar isn’t just an issue for people in the United States. Roger Leeds with the Johns Hopkins University School of Advanced International Studies notes some global repercussions. "The dollar is unquestionably the dominant currency in the world’s economy as measured by various indicators such as trade oil is invoiced (priced) in dollars and most other commodities are generally invoiced in dollars. It’s also the major international reserve currency, which means that most central banks hold their foreign exchange reserves in dollars. "
What determines the value of the dollar and every other currency? Simply put, it’s the price they are bought and sold in the global currency market place, reflecting supply and demand. Brian Dolan at GAIN Capital in New York says the value of the dollar or any currency also reflects the underlying financial circumstances of the country behind it.
"The easiest way is to make an analogy—currency as the ’ stock’ of a country. So just as a stock’s performance (price) is going to depend on the performance of that company so, too, will a currency appreciate or depreciate depending on the economic prospects, the political prospects, the interest rate prospects of a given economy. "
Seen in that light, there are a number of factors that have combined to drive down the dollar. Beginning in 2000, the United States underwent an economic slowdown and a decline in the stock market, which analysts say made foreign investing in US companies less attractive than during the "boom" years of the late 1990’s. Another factor is the US government, which in fiscal 2004 incurred a record budget deficit of nearly $413 billion as it waged war in Iraq, a global war against terror and other costly expenditures. There is also the $592 billion trade deficit—more than 5% of the US economy’s total value—run up last fiscal year as Americans bought far more outside the country than they sold abroad.
Economists say the trade or "current account" imbalance can be addressed by a "cheaper" dollar that makes US exports more competitive on the world market. But President Bush and Treasury Secretary John Snow continue to say they support a "strong" dollar. Josh Bivens of the Economic Policy Institute in Washington says that won’t solve the trade problem.
He says, "Everyone realizes that we have to worry about the trade deficits now. They’ve just gone as far as they can go. They’re not sustainable. But yet they don’t want to give up the 4 strong dollars part and they can’t have it both ways. If you want to do something about the US trade deficit, you have to accept a lower value for the dollar. "
Economist Bivens also says the Bush administration’s talk of a "strong" dollar is mainly intended to maintain foreigners’ confidence in the US economy so they will continue to invest.
Much of the concern over the trade imbalance has centered on China, which ties the value of its currency, the yuan, to the dollar. John Williamson at the Institute for International Economics in Washington says this has enabled Beijing to remain a dominant exporter. "When the dollar decreases in value, the Chinese currency rides it down. And so, that means that Chinese exports become more competitive in the rest of the world. "
The dollars China accumulates are spent in part on buying US government securities that finance the budget deficit. What worries some analysts is that foreign investors such as China may become reluctant to support Washington’s debt. If that happens, a crisis could develop that would force the US government to raise interest rates on bonds substantially. Those analysts say Wall Street stocks and other private US investments may be driven down as a result, possibly triggering a recession.
Whatever the dollar’s ultimate price, economists and currency traders say in unison that any shifts in the value of the dollar and other currencies must be orderly and gradual to prevent market "shocks" that can ripple worldwide.
选项
答案
More expensive./Higher in price./The opposite.
解析
转载请注明原文地址:https://kaotiyun.com/show/i2Pd777K
本试题收录于:
公共英语五级笔试题库公共英语(PETS)分类
0
公共英语五级笔试
公共英语(PETS)
相关试题推荐
Theauthorthinksthatpeople’sattitudetowarddrugsresemblearollercoasterbecausebothcases______.Whichofthefollowi
______tellsusthatthegovernmentwillgivesupporttoemployers,whoofferpart-timejobs?______indicatesthata63-year-o
Theultra-lowfieldMRIcapturesimagesbyusingfieldsabout______.WhichofthefollowingstatementsisNOTTRUE?
Childrenwhogriptheirpenstooclosetothewritingpointarelikelytobeatadisadvantageinexaminations,(31)tothefirs
Childrenwhogriptheirpenstooclosetothewritingpointarelikelytobeatadisadvantageinexaminations,(31)tothefirs
Whichofthefollowingbestexplainswhatmakesdiamondagoodengineeringmaterial?Whatdiamondproductsaretobelaunchedi
WhathasbecomeabigissueforeducatorsinAmericanschoolsbetweenthesexes?
WhathasbecomeabigissueforeducatorsinAmericanschoolsbetweenthesexes?
A=BuddhistArchitectureB=TaoistArchitectureC=ImperialMausoleumArchitectureBuddhistArchitectureChineseBu
Culturalglobalization,formany,meansWesternizationorAmericanization.Animportantdistinctionconcerningtoday’scultural
随机试题
在如图11所示的算法流程图中,若输入s=6,输出的结果为()。
鼻咽癌放射治疗后开口受限的常见原因是
运动神经切断后所支配的肌肉萎缩,是因为失去神经的()
周老太自年轻时丈夫去世后,就独自抚养两个儿子长大成人。儿子成家单独生活后,因周老太年老体弱,两个儿子都不愿意赡养,周老太伤心至极,向人民法院起诉,要求人民法院为其与儿子分家析产并责令儿子支付赡养费。一审人民法院经过审理判决两个儿子每人向周老太一次性支付赡养
钴的价层电子构型是3d74s2,钴原子外层轨道中未成对电子数为:
关于人造地球卫星的第一宇宙速度,下列说法正确的是()。
“一战”前争夺奥斯曼帝国遗产的国家不包括()。
某高校的校园网由1台核心设备、6台汇聚设备、200台接入设备组成,网络拓扑结构如下图所示,所有汇聚设备均直接上联到核心设备,所有接入设备均直接上联到汇聚设备,在网络系统抽样测试中,按照抽样规则,最少应该测试(60)条汇聚层到核心层的上联链路和(
桌子
Theauthorisprimarilyaddressing______.Thefirstparagraphismainlyabout______.
最新回复
(
0
)