I bought a wood chipper just in case….massive inflation is about to over come the USA , that's not going to help sell anyones motorcycle ..... I filled my truck with gas last week it cost me 25 dollars more to fill the truck over what it cost me in January ..... paid 3.70 a gallon yesterday and almost 45 dollars to fill my mustang yesterday . products every where are increasing in price (you cannot print trillions of dollars and have them be worth anything , its a disaster we are all going to face ) its going to get bad . Harleys timing may be what does them in .
Is that when talking about "devaluation", it refers to "comparing" with another currency... and if you compare the dollar, against another strong currency... since 2021, the dollar has "appreciated" against the Euro,... .not devalued….Inflation is directly related to devaluation of a currency.
Devaluation is the inevitable fix when debt exceeds sustainable levels.
That's what I did. I started the business to pay for toys and general expenses so I don't touch my retirement money and can make it grow.It's not good for someone on retirement income. Guess I need to pick up more side gigs?
We are probably talking about the same thing... but in other terms... The devaluation of a currency is against another strong currency (for example with the euro... or if you compare it with the Yuan... you will see that in the last 10 years both they practically maintain their “exchange value” and normally it is a government monetary policy to favor exports or restrict imports (along with other fiscal policies such as export/import taxes or duties)…probably what you mean is to “depreciation”….which is what happens when people do not want to have the bills in their hands, because the px of the goods/services increase “first” (for increase of costs)..this causes the demand for those to increase too ..(to anticipate the next increase, but now not for increases costs, but by increased demand,) if the supply is not capable of sustaining the new demand….people will be willing to pay more to get rid of the money in their hands…and if the supplier raises prices and demand does not stop…..you will create a new “demand” curve added”……until the demand returns to normal requirements…….and so everything will be calm again….but with higher values of things……in a situation of inflation like this, people do not think about saving (in bills )….they think about getting rid of the bills (buying/spending)…..”depreciates the billsValuation is typically based in terms of a "market basket" of how many goods or services can be bought, not as a comparative to other currencies.
Essentially, since all the world's currencies are now fiat (not tied to something like gold) all of them are now "funny money."
Ironically, this made them all about as valid as Bitcoin and the other cryptocurrencies and this cycle is nothing new.
James 5:1-6 Now listen, you rich people, weep and wail because of the misery that is coming on you. Your wealth has rotted...
So devaluation is in terms of real things like how much it takes to pay a plumber to fix your sink, or to buy a loaf of bread. Gold is still priced in US$ but that could change, especially with the China/MiddleEast alliance to move away from the US$ standard.