While the Dollar continues to be weak we should strike while the Iron is hot:
Energy: Since a weak dollar increases the price of energy imports we should take the opportunity to drill domestically. The cost of domestic materials do not change based on an exchange rate.
Manufacturing: A weaker US dollar means that US Steel is cheaper as the raw materials for it’s manufacture are available domestically. In addition with states in dire economic straits there have incentive to make deals with holders of foreign capital looking to produce here.
Labor: High unemployment means a larger than normal skilled work force is available and can be had for a lower price than normal. Also those wages are being paid in a depressed currency.
Rents: Housing and rental prices have plummeted, foreign capital can acquire locations for a song, and may even be able to lock in favorable rates for a long term commitment.
Exports All the basic exports from America are now cheaper. American Agribusiness is still very productive and American food products are some of the safest in the world. A smart operator would make long terms deals now while the prices are low and the producers need the business.
Tourism: The US is a big country and provided you steer clear of the gangs of Chicago and the boarder area where the Mexican drug wars are overflowing it is still the safest place to see. The Natural beauty isn’t affected by the dollar’s weakness, Hollywood and Disneyland are still there and if one is into history from Lexington to Little Big Horn and all the Civil war battlefields in between you can find plenty. Almost every foreign community in the world has it’s mirror in the US. (Fitchburg for example has a Finish consulate) so people can find both the familiar and the unfamiliar.
And lets not forget that America is still the most stable country in the world, where hundreds of thousands can protest the government without dirtying the grass.
If we can’t change the circumstances of the dollar a smart administration can that the lemons we have and make lemonade.
