CAMBRIDGE: Among most currencies the dollar is king, but held against the DM and the Yen it is the beggar. In the last two years alone, the dollar declined 20 to 25 percent against these two key currencies. Over the past decade the decline amounts to 50 to 75 percent respectively. One might reasonably ask, what is wrong with the dollar. But the right question is really what is wrong with the DM and the Yen that makes the market price them so aggressively that business can hardly survive.The foreign exchange market makes German and Japanese labor look a lot better than in can possibly be. In West Germany, hourly compensation now is almost $20 per hour. In Japan it is up to $25. Compare that with only $17 in the United States!
CAMBRIDGE: Among most currencies the dollar is king, but held against the DM and the Yen it is the beggar. In the last two years alone, the dollar declined 20 to 25 percent against these two key currencies. Over the past decade the decline amounts to 50 to 75 percent respectively. One might reasonably ask, what is wrong with the dollar. But the right question is really what is wrong with the DM and the Yen that makes the market price them so aggressively that business can hardly survive.The foreign exchange market makes German and Japanese labor look a lot better than in can possibly be. In West Germany, hourly compensation now is almost $20 per hour. In Japan it is up to $25. Compare that with only $17 in the United States!