Smiles for Free Trade
8th January 2017
While I agree that the Federal Reserve today has a comparative advantage at supplying currency to the global economy, I disagree that this reality is bad for Americans. In fact, it’s good for Americans – very good. The reason is that we receive from foreigners a steady flow of valuable goods and services in exchange for inexpensive monochrome portraits of dead American statesmen (or their even-less-costly-to-produce digital equivalents).
I am reminded of a scene in the third Jason Bourne movie, where Bourne is in Moscow and needs to go to the address of the daughter of the couple he killed in his first job. He shows up at a cab rank and asks if anyone can take him to the address that he shows them. Sceptical faces all around. Finally one says, ‘Rubles?’ and Bourne answers ‘Dollars.’ Suddenly all is smiles, and they’re on their way.
American Presidents have power, even after they’re dead.