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
2009-06-24
69
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 U.S. 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 U.S. companies less attractive than during the "boom" years of the late 1990’s. Another factor is the U.S. 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 U.S. 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 U.S. 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 ’strong dollar’ part and they can’t have it both ways. If you want to do something about the U.S. 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 U.S. 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".
China has resisted pleas to break its currency’s link to the dollar in order to continue its economic expansion. But the dollars it accumulates are spent in part on buying U.S. 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 U.S. government to raise interest rates on bonds substantially. Those analysts say Wall Street stocks and other private U.S. 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
Supply and demand.
解析
转载请注明原文地址:https://kaotiyun.com/show/i1Hd777K
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
ImproveComputer-researchSkillsLikemanycollegestudents,JoseJuarezcarriesaroundapocket-sizedcomputerthatletshi
Likefinefood,goodwritingissomethingweapproachwithpleasureandenjoyfromthefirsttastetothelast.【46】.Quitethec
StormsSinkShipsRescuershavefoundthebodiesofover130peoplekilledintwoferrydisastersinBangladesh.Theacciden
AttentiontotheDetails1.Attentiontodetailissomethingeveryonecanandshoulddo—especiallyinatightjobmarket.B
TheAmericanFamilyIntheAmericanfamilythehusbandandwifeusuallyshareimportantdecisionmaking.Whenthechildrena
ABrieftoSingapore1Singaporeisanindependentcity-stateinsoutheasternAsia,consistingofonemajorisland—theSingapore
LivingAloneIsJoyfulMoreandmoreAmericansarelivingalone.Somelivealonebecauseofdivorceorthedeathofapartne
GrossNationalHappiness Inthelastcentury,newtechnologyimprovedthelivesofmanypeopleinmanycountries.However,one
Experimentshaveconfirmedtheassumptionofmanyexecutives.Peoplearemorelikelytocooperatewiththosewholikethem.
InSports,RedistheWinningColorWhenopponentsofagameareequallymatched,theteamdressedinredismorelikelytow
随机试题
Manypeoplebelievethatpassionandcommitmentarethefoundationsofstrongromanticrelationships.Butarelationshipismade
常用的VITA16色比色板包括下列哪四种色调A.白、黄、灰、棕B.红、黄、灰、棕C.白、黄、灰、蓝D.白、黄、蓝、棕E.红、黄、蓝、棕
A、关节痠痛,游走不定,屈伸不利B、关节疼痛较剧,痛有定处,得热痛减,遇寒痛增C、肢体关节重着、酸痛或肿胀D、关节疼痛,局部灼热红肿E、关节红肿,疼痛剧烈,入夜尤甚,壮热烦渴风湿热痹的主要症状是
需确定是否有胸腔积液应首选的检查是
用于鉴定挥发油组成成分的有效方法是
甲公司因资金紧张,遂与乙银行、丙银行分别签订100万元的借贷合同,甲公司以其拥有产权的一套别墅(时价240万元)作为抵押。甲公司与乙银行于1999年5月4日签订抵押合同,5月10日办理了房屋抵押登记。甲公司与丙银行于1999年5月8日签订抵押合同并于当日办
在物业管理中,业主是物业服务企业所提供的物业管理服务的对象,又是物业管理市场的供求主体。()
根据资源税规定,纳税人既有对外销售应税产品,又有将应税产品自用于除连续生产应税产品以外的其他方面的,对自用应税产品,移送时应纳资源税的销售额是该产品的()。
“关注个体差异”就是根据学生实际存在的兴趣爱好和能力差异()。
我国人民很早就知道用焰色反应来鉴别某些物质,只是因为受生产力水平限制,这种方法没有得到发展。南北朝时期,著名的炼丹家和医药大师陶弘景(456-563)在他的《本草经集注》中就有这样的记载“以火烧之,紫青烟起,云是真硝石也”。这一记载所鉴别出的物质应该是(
最新回复
(
0
)