Topic: Is the only aim of devaluation, to help stimulate a countries economy? - page 2. (Read 183 times)
June 20, 2024, 11:55:08 AM
I don't remember any government deflated their currency in the last few decades, devaluation= deflation which is bad for the economy of a country cause decrease in the price will leads to loss of profits for companies that can distress the chain process of salary - employee - money spent so inflation to considerable level is good for the economy but from individuals perspective it's eating the purchasing power of the money we have so it force people to spend their money and push towards consumerism.
June 20, 2024, 11:17:36 AM
We all know that when a country devalues its currency by making policies in this regard,
Devalues = Print more money?
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it could backfire and produce results that may be of an inflationary type, whereby exports are cheaper than imports and local consumers may be left to pay heavy for imported products or patronize locally manufactured products.
It's not "could" produce inflation, it DEFINITELY WILL produce inflation. There was never an increase in the money supply that didn't cause inflation, and there was never inflation that wasn't caused by the increase in money supply. The two of them always go together.
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Although, many of these policies are enacted, so as to gain a competitive edge in the global market and help clear out backlogs probably accrued from previous government regimes, it is many times a conscious and deliberate decision by the government to reduce the spending or purchasing power of its own currency, and it is sometimes because of neighboring countries doing same just to have an edge in the world market space.
Probably for China and for some other countries, that's true. But for many countries, they can't compete. Plus for those countries, the Cabal perhaps has other "reasons".
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*could the acceptance of cryptocurrency help stimulate a countries economy besides devaluation?
*What other ways can a country stimulate her economy without devaluing its currency?
Let's discuss!
If you ask me, every pleb like me should understand that Bitcoin is not here to "save" an economy. It should probably help establish an parallel economy and compete with the legacy economic infrastructure.
June 20, 2024, 10:45:57 AM
*What other ways can a country stimulate her economy without devaluing its currency?
Let's discuss!
Good government is what a country needs to stimulate her economy. The country should increase their productivity because that will boost employment rate and income level. Skill acquisition and youth empowerment should be carried out by the government, so that citizens can be self employed in order for them to have employees.Let's discuss!
If the government is corrupt, it will be very hard for such country to achieve a stimulated economy, and that is why the country currency will be devalued due to inflation and printing a higher denomination of currency so that they can easily siphon huge amount of money.
June 20, 2024, 09:02:24 AM
Cryptocurrency is just a "money" it doesn't change anything.
When a country choose to devalue it's currency, it's either due to their weak regulation or their internal problem (low productivity, low birth rate). If their regulation are strong, they should aware that they need increase the taxes import and encourage their citizen to become entrepreneur.
But, when the country have internal problem, it means they're the problem, it could be their bad culture or corrupt.
When a country choose to devalue it's currency, it's either due to their weak regulation or their internal problem (low productivity, low birth rate). If their regulation are strong, they should aware that they need increase the taxes import and encourage their citizen to become entrepreneur.
But, when the country have internal problem, it means they're the problem, it could be their bad culture or corrupt.
June 20, 2024, 08:30:01 AM
We all know that when a country devalues its currency by making policies in this regard, it could backfire and produce results that may be of an inflationary type, whereby exports are cheaper than imports and local consumers may be left to pay heavy for imported products or patronize locally manufactured products.
Although, many of these policies are enacted, so as to gain a competitive edge in the global market and help clear out backlogs probably accrued from previous government regimes, it is many times a conscious and deliberate decision by the government to reduce the spending or purchasing power of its own currency, and it is sometimes because of neighboring countries doing same just to have an edge in the world market space.
*could the acceptance of cryptocurrency help stimulate a countries economy besides devaluation?
*What other ways can a country stimulate her economy without devaluing its currency?
Let's discuss!
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