Saturday, August 27, 2011

The Euro

I am just baffled as to the continued strength of the euro.  That currency could fall apart at any moment, and yet it continues to rally.  All of the news reports indicate that it is a highly unstable and doomed currency...I just don't get it.  That's the weird thing about currencies, they are valued at what people think their value is...like stocks, it's a reflection of the consumers confidence level in the item at that moment.  Also, supply and demand come in to play as well, this is one of the reasons that I want to study economics in school - so that I can understand these relationships better.

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