The premise of “currency war” is simple. In debasing one’s currency the fastest, governments seek to make investment and spending cheaper for foreigners; and thus, to increase manufacturing and consumer sales market share.
For example, when the Japanese government PRINTS MONEY to make the Yen more “competitive” against the dollar and Euro; it is simply saying it wants Toyotas to be cheaper than Fords or BMWs. Hence, more corporate revenues, government tax receipts, and private jobs.
…as have ALL others; although no one knows EXACTLY how long it will take..
However, now that GLOBAL debt incurrence has graduated from arithmetic and geometric growth – to the rarified air of parabolic; my guess is “THE FINAL CURRENCY WAR” is upon us.
All currencies will end up in hyperinflation mode. The demise of the Zimbabwean Dollar from 2000 to 2009 is a prime and recent example and should be studied. The un-employment rate in Zimbabwe was at the time running at 80% + Now it runs at 85-90% plus 4 years later and they now use dirty old US$ notes as an exchange mechanism. Buy physical gold, silver and or other precious metals or other stuff which will hold its value and is useful such as grains, fuel etc as the Zimbabweans did, this is the only store of value left. Teachers and other employees were paid in diesel and that worked it will work again I am sure, The World needs to wake up!
Beautifully put,as usual.It reminds me of Columbus’ships,being blown towards the edge of what was believed to be a flat ocean.Then as now,buggaring their fellow travellers.Then, when they ran out of ocean…they thought they were someplace else,(India).Ship of fools indeed.