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Currency Manipulation Briefing

Currency manipulation has been a favorite national method of boosting exports and impeding imports throughout the post WWII period. By devaluing its currency, a nation makes its exports cheaper and imports more expensive relative to other currencies. East Asian and central/northern European countries have consistently violated International Monetary Fund rules in devaluing their currencies to obtain comparative advantage over trading partners. China, Japan, Korea, Singapore. Malaysia, Germany, and Denmark are among roughly 20 countries that have launched such competitive currency wars. The United States has been the main victim of currency manipulation, which has hollowed out our industrial base, as our businesses and factories have been unable to compete with the artificially lowered prices of our competitors. Please view this video to learn more about how currency manipulation works and what the American response should be.
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