725,8 billion trade deficit...!?

[Holden McGroin]

Originally posted by Fishu
some 8 euro cents. Is that significant? Back then it was somewhat high and the average has been around 1 € - 1.20 $

8% return last year ain't bad.

[Thrawn]

Originally posted by Rolex
"You're [sic] claim would only be true if everyone was paying thier [sic] groceries with IOUs."

They are. They're called promissary notes.

Inductive fallacy, they are comparable in that they are both promissary notes, but they contast in their utility specific to context.  Due to the universality of a currency within a country the grocer doesn't have to wait to use the money they recieve.  The money can be used immediately to buy goods and services.  But they would have a much more difficult time trying to buy stuff with the IOU, because it's the possibility of money and has the risks that that entails.

Where international trade when dealing with different currencies for different nations, money is the possibility of goods and services.

[Rolex]

But, you see, Thrawn, you haven't finished your thought. The grocer and all business operates on credit and the promissory risks associated with it, and not on cash flow only. And so do nations.

I'm not going to get into this undergraduate econ pedantic semantic debate. Of course, a trade surplus is enviable, but if your position is that impending catestrophic global economic doom is likely from the monetary supply, I would not hang around the house all day and night waiting for the Nobel Committee to call.

Go out and have dinner and a few drinks.

Cheers.

[Thrawn]

Originally posted by Rolex
The grocer and all business operates on credit and the promissory risks associated with it, and not on cash flow only.

Not true, my wife works at a small store and some of their suppliers only sell on a cash basis.

And so do nations.

Nah, nations when it comes to trade don't necessarily have a unversal policy of having to use credit.  It's up to the individual companies.

I'm not going to get into this undergraduate econ pedantic semantic debate.

I that's why you are making so many invalid arguements in this debate then, it's just so...ya know, beneath you.

Go out and have dinner and a few drinks.

You do the same, maybe it will salve your bruised ego.

Cheers.