Ouch 1.58 US $ =Third world currency?
 

This is just scary! Are we, the US a third world country? Should we buy other currencies so that we wont suffer further devaluations? Many people in Latin America used to buy dollars because their currency was continuously devaluated.

Why do Americans persist in this infantilism?

The alternative to the fantasy world of "America's the Greatest" isn't being a third world country. It's growing up, and realising you're just one affluent country among dozens.

Your currency will devalue and revalue cyclically. Just like the yen, the euro and the pound. And, yes, the yuan and the Indian rupee.

Welcome to the real world.

All well and good, Mr Flanneryuk but the dollar is declining at an alarming rate and there is nothing good about that.

travelme, take that shirt or blouse you are wearing OFF and look at the label.

Where was it made?

Your computer components assembled where?

Your Ipod?

Your Palm?

Your kids toys?

I agree with Flanner...we need to realize what "greatness" actually means and becoming more competitive rather than whining about everyone else's success might be a start.

You willing to pay MORE for all those currently foreign-made/assembled products in your home if they can even BE made in the US?

I think the fact you have a Palm, iPod, computer and even a shirt to look at the label of proves the US is not a 3rd World Country.

If you were starving to death in a shanty town then the tag would be accurate.

Complaining on an internet forum because your two week European vacation will cost an extra $500 - less so.

Cheer up, travelme. Amongst the losers at Bear Stearns is a British billionaire. He lost an estimated $300,000,000 (even in the present $US, and even for a billionaire that's a fair chunk of cash.)

It's a global howling these days. Join in.

Seriously, this could be a good thing, something to remind people to live within their means, instead of within their expectations.

The British billionaire - Joe Lewis also owns my football team.

There's an article in today's telegraph saying that although he lost around £500m he still has over £2bn and isn't feeling much pain and won't sell spurs.

That must be a nice position to be in.

"This is just scary! Are we, the US a third world country"

Ever been to New Orleans?

At least there is some justice in investors losing by taking risks.

What really does take the piss are the employed city boy types - they run no businesses, take everyone elses cash, commit to enough risks to create huge profits from which they take a huge bonus.

Then if it all goes wrong they simply lose only their job and wander off with everything they have to hide in Goa for two years until the next bull market.

travelme--I'd guess you've never lived in a 3rd world country or you wouldn't even ask the question. The US is printing money at a fantastic rate these days--to pay for our wars, and to cover the excesses of the leaders of our financial marketplaces, and to make up for the ignorance of individual American investors and property buyers.

So the dollar is less and less valuable, accounting for much of the increase in prices, including the prices of other currences and oil, that we are currently experiencing.

Those of us who invested conservatively and who didn't buy a house we can't afford, as usual, end up paying for those who were reckless and/or ignorant. I guess we're the stupid ones.

I guess as a Canadian the only comment I can make is welcome to our world. We've had the ouch factor when planning travel for as long as I can remember. The only difference now is that when I cross the border my money is worth the same as the US dollar. Not a good thing for our economy though so I hope things improve with your dollar.

Hi T,

I remember when the GBP was $2.50 and the FFranc, the German Mark, and the Italian Lire traded at the equivalent of the Euro at $1.67.

The US wasn't considered a 3rd world country then.

((I))

PS,

The Fed is going to lower interest rates again.

Look for the E at $1.65 this Summer.

((I))

http://www.reuters.com/article/busin...58265520080317

Leave your Benjamins at home.

Regarding the Reuter's report-the accompanying video interviews a woman who is using money exchanges and traveler's checks and states she is experiencing trouble having vendors accept traveler's checks....I'm astonished there are people out there who still believe this is efficient or effective, especially in Europe.

I confess my parents still use traveler's checks here in the States (they've never traveled outside of North America). (sigh.....)

According to today's Wall Street Journal, the US$ is up this year against the South Korean won, the Indian rupee, Indonesia's rupiah, and the Turkish lira, among other currencies.

"Many of the countries with struggling currencies share a major weakness with the U.S.--namely, they import more than they export and depend on financing from overseas to make up the gap".

I'll continue to invest in large multinationals like GE, KO, and JNJ as one way to take advantage of the weak dollar. Don't think the U.S. is a third-world country quite yet.

whoknew--don't feel too badly about your parents not traveling outside North America.

North America is huge (more than two times the area of Europe) with about 40 separate countries and possessions of other countries, and covering almost 17% of the earth's land areas with over half a billion people speaking dozens of languages.

More nonesense. The USA GDP is at $45,000. In particular this is three times that of Poland. USA gasolene is still below $4 a gallon, 1/2 the price in most of Europe. Few Americans travel and most can't covert dollar value to pounds or Euros. Shortly, automatic USA factories are going to replace 'other world' work shops.

"This is just scary! Are we, the US a third world country?"

Are you kidding me? Third world country? Tell that to the people from places like the Philippines who needs to spend 200000P (the equivalent of 20 years' salary for the average middle class person) per person to spend two weeks in Europe.

If Aussies, Kiwis, and Canadians were able to travel in the past with their horrendous exchange rates against the Euro, I'm sure that Americans can do it, as well.

Jake1-the sigh is more because they still use traveler's checks. My mother would go in a heartbeat to Europe, especially Spain and Portugal, if my dad's health was good. I've offered to take her to Spain, but she won't leave Dad...unfortunately his mobility is limited and there's no way he could navigate any distance at all in Europe.

But they are planning to go to his Navy reunion this fall in Washington DC, and once again they've offered to pay most of my way to go on the trip with them and sherpa them through the airports. (Who am I to argue with a deal like that?)