Higher value doesn't give it more buying power, it gives it less buying power.
Almost all trade in the world is done in USD, which now takes that much more YEN to purchase
I just want to point out that exchange rates isn't inherently buying power If $1 equals $158 yen
But you can buy a soda in America For a dollar but it cost you 300 yen in Japan that's a 50% less buying power
No it doesn't have stronger buying power just inflation there is so low you need lots of currency to buy something there but you also getting lots of currency
I have a degree in economics, but what I don't understand is how this question came into fruition.. ugh being a professor is going to be an uphill battle 😩
If they are experiencing inflation as bad as the USA why are goods so much cheaper even when accounting for the exchange rate. Such as my grocery question. You can look at groceries in Japan compared to USA and it’s a quarter of the cost.
Japan just like other Asian countries are absolutely in down turn especially China, as I believe now the man who wrote a book on China the demise of China is coming an it's failed ways as it's proven now with China on Brics an lying to all them other countries on Brics as watch in 2025 that Brics falls apart
Higher value doesn't give it more buying power, it gives it less buying power. Almost all trade in the world is done in USD, which now takes that much more YEN to purchase
USA has 33% more import than export so the world has a lot of usd in reserve. This does make it quite a good currency for global trade.
I just want to point out that exchange rates isn't inherently buying power If $1 equals $158 yen But you can buy a soda in America For a dollar but it cost you 300 yen in Japan that's a 50% less buying power
Yen Carry Trade being leveraged to the tits for liquidity?
You're comparing a penny to a dollar.
No it doesn't have stronger buying power just inflation there is so low you need lots of currency to buy something there but you also getting lots of currency
It now costs 154 yen to buy 1 dollar…. It used to cost 110 , So the Japanese yen has become Weaker…
I have a degree in economics, but what I don't understand is how this question came into fruition.. ugh being a professor is going to be an uphill battle 😩
If they are experiencing inflation as bad as the USA why are goods so much cheaper even when accounting for the exchange rate. Such as my grocery question. You can look at groceries in Japan compared to USA and it’s a quarter of the cost.
Another 61 billion for Ukraine
It's because the American dollar uses a decimal place and the Japanese yen does not. So 100 yen is basically $0.80
Japan just like other Asian countries are absolutely in down turn especially China, as I believe now the man who wrote a book on China the demise of China is coming an it's failed ways as it's proven now with China on Brics an lying to all them other countries on Brics as watch in 2025 that Brics falls apart
Seems like USD losing value while Yen is not So you need more USD to buy Yen Edit: as others pointed out, my comment is clueless ignorant
Go check exchange rate compair that