Wednesday, February 13, 2008

Decline in the dollar

Oracle of Omaha Warren Buffet says that the dollar should continue to decline for the next 5 - 10 years. This is important because foreign banks are reluctant to lend money to americans. They are afraid that our money will be worthless 20 years out. This makes things more difficult for us. The decline in the US dollar hurts us. Our current trade deficit with China is hurting the US economy.

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