Hey, Economics People
Just wondering... what are the most important consequences of the weak dollar, and what are the best ways to deal with it?
I can see some of the effects... obviously it made my purchasing power in Canada a lot lower, and for commodities like oil, if the U.S. dollar is weak, then we're paying more vs. the countries with stronger currencies. What about more long-term effects like those on the national debt? How does it affect that? I can't imagine it's good. And what about secondary effects?
I suppose there are also some positive aspects of it, too, if you're working in the domestic tourism industry. What about manufacturing? It makes goods more expensive for us, but conversely, I suppose, this would encourage companies to keep factories in the U.S.
So anyway, at this point, all I know are little tidbits. Could anyone out there help me with a more comprehensive understanding of the subject?