Why do people keep saying, oOoo the high dollar hurts the economy ? How does it hurt the?

Question

American economy when 130 dollar oil means the us gets like 30 billion dollar in foreign currency from all over EACH DAY ?

Answer 1

High dollar of which country ---US, UK, Mark, Yen or what???

Question is too open and taking for granted --- US, right???

Why all questioners have the same fault? Why? Why?

Do you all want a good answer? e.g. How does it hurt the?? It is yours, right.

When the Dollar of a country is high or low, they will hurt the economy in anyway it goes.

When high, you will be able to buy in (products or goods & services) cheap coz yours has more value than others.

The other way round when it is low, you pay more for them.

When high, others will sell off your dollars for profit.

When low, people will buy in the dollars for keep to sell at high time.

Answer 2

International trade and finance determine if a currency is cheaper or expensive; down the presents economical conditions we can say the US dollars is overvaluated; so, a depreciation of currency must be made.

An overvaluated currency means the imports made by US are too cheap; this disincentive the economical activity in US because the customers prefers to buy imported goods. Then an overvaluated currency is hurting the economy.

We listen the voice of alert and we do not see big problems in any place because the economical process does not come given immediately.

130 USD is hurting US economy too but it is a process that does not come from into US else out US economy.

The magnitude of US economy is big, so, 30 billion in daily  transactions have a manageable impact on it. In fact this volume of daily transaction only is possible by the magnitude of US economy. I insist those are two process, one internal and another external.

Answer 3

The US doesn't get the money.  We're a net importer of oil, so we have to PAY $30B each day.

Answer 4

Rising prices and a weaker dollar means everything is more expensive, and also because the world's reserve currency is in dollars.

Answer 5

The reason the dollar has declined relative to other currencies is that the Federal Reserve has been creating money at a very fast clip over the last 6-7 years. Investors understand that more dollars makes each one worth less. That alone doesn't hurt our economy in total (although it hurts some sectors and helps others). Historically, though, business does not do as well during periods of higher inflation than in periods of lower (remember the 70s?) Stock multiples fall, for example. It is that effect which ultimately "hurts". A more stable currency= higher growth real rates.