I hadn't thought of that!:shock:
I think what matters is how much regulation of capitalism there is in a given country. If capitalists are left to their own devices their greed is bound to get the upper hand.
I don't know about a conspiracy, but it seems that everybody who is in economics and government is thinking about a devaluation of the dollar.
There are two scenarios: a small devaluation and a really big one, say 30 or 40 %. Experts are saying it will be very difficult for Obama not to use devaluation, or in other words it will be tempting to use it to boost exports. In that case, the griping little European here says that the US, after exporting their subprimes to us, will be shifting the economic problems to us too by making the Euro uncompetitive. (Don't worry though, I still love you guys at Booktalk).
In theory everybody could retaliate and devalue too but this doesn't seem to be considered in the Euro zone.
It will be interesting to see what Obama does. Also it will be interesting to see how the Chinese will react. They're the ones who've been buying American debt, they don't want a weak dollar that would lower the value of what they've bought, and it would make sense that the US try not to to upset such a valuable customer. I've heard they have already started to diversify their investments in case the dollar is devalued.