Forbes: Why is the dollar so weak?
Part of the reason, says Douglas Holtz-Eakin, senior policy adviser to John McCain, is Barack Obama. He's scaring off international investors.
Oh really? The value of the dollar is in large part determined by future expectations concerning the strength of the U.S. economy and the ability of the president and Congress to balance the budget and control the trade deficit.
Actually, the dollar has depreciated only slightly against the euro, and it has appreciated against the yen, since June 4, the day after Obama clinched the Democratic nomination. On that day, one dollar bought 0.64 euros and 105.64 yen; on Monday afternoon, one dollar was worth .63 euros and 106.43 yen--though it has fluctuated against both currencies.
Still, Holtz-Eakin asks, "Would you feel good about sticking your money in the United States?"
Can you say loony? For that's what's happened to the McCain camp. Where does McCain dig up these people?
They've also blamed high gas prices on Obama. They just can't compete. If anything, Obama is going to boost international investment because we'll finally have a rational human being as president.
