If demand from other countries didn't increase while the dollar's value
fell, then the price of oil would actually fall.


???

Better think this one over again too.


No need to. If nobody else needed oil besides the US, then we would drive
demand...and consequently, we would drive the price.


Aren't you forgetting half the equation? There's a little thing called
supply...

Or are you daydreaming about a world where George Bush Jr (on the advice
of Pat Roberson) has nuked the rest of the world into the Stone Age,
thus leaving all the oil for us?


If the dollars value falls (and BTW this is not deflation) then it will
take more of them to buy whatever... oil, bread, ammo, other currency...


NOYB wrote:
Not if bread, ammo, and other currency is pegged to the dollar...like oil.

Oh wait! China's currency (yuan) *is* pegged to the dollar. And it costs
no more additional US dollars to purchase a yuan today even with the fall of
the value of the dollar. Imagine that! Thank you for proving my point.

Proving what? Are commodities pegged to the yuan? You're saying that the
US dollar's value is strictly controlled by the value of the yuan, and
China is on an "oil, bread, & ammo" standard" (vice the old time gold
standard)?

I'd suggest some basic (very very basic) econ texts.

DSK