Why do we have a weak dollar? The Federal Reserve is printing too much money in order to hold interest rates down. I don’t think that’s good thing, particularly in that it’s brought on predatory mortgage lending practices, which has given the mortgage industry a big hangover.

But in the big picture, a weak dollar isn’t necessarily bad either. We have a very strong underlying economy. We’ve experienced high growth rates in the past several years, in the 3% to 4% range. The economy also created 8 million jobs in the past four years–at McDonald’s alone! The stock market is up, and incomes have risen faster than inflation, at 4%.

Now this idea that China, Japan, and OPEC will suddenly decide to switch to the Euro or not buy US bonds or goods in dollars anymore–it’s unlikely. Bankers and currency traders can hedge in any currency they want. In other words, they can already get out of USD anytime they want. So why hasn’t it happened yet? Because Asia and OPEC are investing in the stability and strength of the US economy. Having said that, I wish the Fed would support a stronger dollar. I refuse to pay 9 bucks for Labatt’s.

So stop worrying and buy yourself a couple pints of Danish beer with those valuable Kroner swinging around in your pants.