Wednesday, November 14, 2007
The Decline of the American Dollar
While in Florence, the American dollar has disintegrated to an unbelievably dismal low. When I arrived, the dollar was worth 63 cents for 1 euro. Today it is worth 51 cents. Stated this way, in cents, it might not sound so significant. Let me put it into a little more perspective for you.
During this year, I had a budget of $50,000 U.S. (Net). This equates roughly to $4000.00 U.S. per month. When I first came here, $4000 U.S. dollars was 2800 euro. My rent each month is 980 euro + utilities, which are usually around 150 euro. So, I was living on a very modest budget, all things considered.
Today, that $4000.00 is worth 2000 euro. The 2000 euro minus rent and utilities is killing me!
As you read this, what I really want you to be thinking about is what is happening to the U.S. dollar and why? I believe that most Americans are not aware of this, and think if they don’t travel to Europe, then it really doesn’t affect them. WRONG! I don’t know enough about it to educate you on this, but I encourage you to research it from more knowledgeable authorities on your own. Especially before the next election!
Not only is the euro worth more than the dollar, it's a lot prettier too!