[lbo-talk] GDP per capita/Dougs comments

[Dennis Redmond]

> Exchange-rate based comparisons are totally meaningless,
> as anyone can tell by simply considering the change in US
> per capita magnitudes, expressed in euros, between November
> 2000 and May 2004.

On the contrary, currency fluctuations between the two largest economies
on the planet are very meaningful indeed. It matters because (1) probably
half of the monstrous US current account deficit is financed by Europe,
the rest by East Asia, and (2) the Eurobanks are the premier creditors of
the world economy.

-- DRR