Re: [A-List] US economy: Soros vs. dollar

[paul davidson <pdavidson@xxxxxxx>]

At 02:48 PM 5/21/03 , you wrote:
> .  That this is going to be done by Robinsonian
> "beggar thy neighbor policies" does not matter to this crowd
> (and I just saw a report forecasting that a 20% decline of the
> dollar would boost US GDP growth in 2004 by 1.5%, probably
> enough to do the trick).
> Barkley Rosser
.

Unfortunately another 20 per cent decline in the US dollar may be enough to
set off a world wide depression  as others adopt beggear their neighbor
policies and the central banks of the world see a huge decline in the asset
side of their balance sheets (their foreign reserve account) when
translated into their local currency -- and then their will be little or
not growth in employment in the US export industries.
Louise Davidson
Editorial Office Manager
JOURNAL OF POST KEYNESIAN ECONOMICS
SMC 501
Department of Economics
University of Tennessee
Knoxville, Tennessee 37996-0550
phone: (865) 974-4221
fax: (865) 974-1686