outline the advantages and disadvantages  of having a low or weak currency value ?
604984
It seems a question for an economics graduate in his final paper at college.
1141597
The thing I don't like about forex trading is that the previous times when I knew there was an opportunity to make money, it was impossible to obtain the currency I needed.  There was the devaluation of the Argentinian currency that happened a while back.  They had been keeping the currency pegged to the US dollar and there was an enormous amount of speculation that it was going to be devalued (allowed to float), yet I couldn't find anywhere to sell this currency since it never moved more than a few PIP up and down within a day.  Then there was the Chinese currency.  Everyone knew they were keeping the currency undervalued and that it would increase in value upon floating, yet again I could not find anywhere to buy this currency in exchange for USD.  I contacted a bank and they had some ridiculous spread (something like 15%-20%), yet again it was impossible to capitalize on something I knew was going to happen.  Both of these situations were extremely frustrating.  Let me tell you, a $2500 investment in either one of these situations would have made you tens of thousands of dollars.  The Argentinian currency went from 1:1 USD to 3:1 USD in a matter of 2 weeks.  Now that's a devaluation.
259207
no, this leads to hyperinflation and the currency becomes worthless. great examples can be found in former east germany, bolivia, etc.
1055622
There are both political and financial reason for not doing it.\n\nWhilst the existing member states are ignoring their obligations to the stability pact rules, why should we prop up their currency?
395167
Currency is money. It means how much money is worth.
533220
By increasing the demand of their currency.  For example, if UK is growing, and there are many people want to invest there, they will buy many poundsterling (thus increase the demand) and increase the value of the currency.  Vice versa, if the economy decrease, people will tend to sell their poundsterling and exchange it to other currency, so that they can invest in another country.  This will decrease the demand of poundsterling and decreases its value.
420296
Anything that can keep counterfeiters from making bogus money helps. Our old currency did not contain many security features. Now the $10 $20 and $50 have a host of features including threads, watermarks, colors, etc.
667901
In my opinion the U S dollar is not a safe currency to be in at the moment. There are some realatively safe ways to protect ones self from currency fluctuations but short term anything could happen. \n\nOne possibility is to have some of your assets in oil securities. Oil is relatively currency free as an investment. Another possibility is to invest in a pool of debt securities of various foreign governments. That minimizes the risk associated with one currency.
47628
There is no "why" to it. Each unit of currency exists independent of the others; some will have a higher value than the dollar, others will have lower value. Some may even start out higher and be lower later due to inflation.
316061
The US dollar is backed by the US Government, (not great but it works). The US government, thankfully, is back by its taxing power over the American people (which is VERY good). I don't think you'll have much to worry about. But I won't keep cash laying around not collect interest or working for you. Inflation is what will really eat away your money.
222954
I think that's because floating exchange rate system has an advantage that it can reflect supply and demand of market derectly to the exchange rate between currencies.  And you don't have to spend your foreign reserves.\n\nIn fixed rate sysytem, governments are required to use their foreign reserves to keep exchange rate at the fixed value.  But sometimes they used up all reserves and no longer are able to maintain fixed rate system.\n\nIn 1998, Thailand and Indonesia floated their currencies just because they exhausted all their reserves.
38468
The open market perceived value of the currency and the economies that they represent.  More nations and companies do business in dollars (US) than in pesos (i assume Mexican).  The need for dollars drives up its value where a glut in a currency like the peso will drive its perceived as well as inherent value down.
68683
One positive is that one can be assured that your money can, at any time, be exchanged for gold. The big negative is that the value of the dollar is extremely volatile. The reason the world left the gold standard is it exacerbated the problems during the great depression.
643414
advantage:\nexpand your market and make more $\ndisad:\nlearning/dealing with different cultures, languages and laws\nunstable governments\ndifferent currencies
82463
American money is pretty bland, although some of the more recent redesigns help. I kind of do like the Euro, myself. There are so many different designs, depending on which country it came from first.
50408
Weakness of the dollar is driving the price of gold (and other commodities) up. Being in a diversified portfolio is essential. Including gold, commodities, and major foreign currencies are ways to hedge against a decline in the dollar.\n\nUse at your own risk. Talk to your financial advisor.
377248
Tourists comprise a very small amount of the Foreign Exchange market.  Shifts in tourist patterns have much less effect on currency prices than demand by institutional traders.  Interest rates, fiscal deficits, trade deficits, and the strength of the economy that issues the currency tend to be the factors affect currency values most (for those currencies that are allowed to float)