Tell How Many Pesos You Print & I Tell You The Blue Value

[Rich One]

Hi there the value of the Dollar as a result of the printing of pesos

Dollar convertibilidad = circulating Pesos/ Central Bank dollar reserves

Tell me how much you Print And Will tell you de Value of the Blue dollar

The more they print the higher the Dollar convetibilidad

http://www.iprofesio...ilidad?page_y=1

 

[Alicia karr]

Uh, couldn't be any more confused. In English or Spanish....

 

[French jurist]

Uh, couldn't be any more confused. In English or Spanish....

A way to measure the strength of a currency (here the pesos).

Simplified example:
Base monetaria (pesos circulating) = 390 billions of pesos (check one of the first entries in the table : http://www.bcra.gov....fomondiae.pdf��)

 

[French jurist]

part 2 (followed = link above broke the text)

Reserves (fictive number to make it easier) = 30 billions of USD

390 billions/30 billions = 13

Hence more you print money, lower its value gets

 

[Matiasba]

May I ask if this is inflation?

didnt we talk here on how the UK multiplied for five its base without inflation? Or Japan? Or the US?

by inflation I m not asking if the prices go up, just the money losing value (is it that the same after all?)

 

[Rich One]

May I ask if this is inflation?

didnt we talk here on how the UK multiplied for five its base without inflation? Or Japan? Or the US?

by inflation I m not asking if the prices go up, just the money losing value (is it that the same after all?)

Printing Money generates inflation according to some economists other than the K ones.

 

[Crema Americana]

Maybe I'm wrong... but I've always thought inflation can be caused by several factors... one of which is the devaluation of the currency by increasing availability. It's not just that the peso is losing value vs the dollar... it's losing value vs goods. These things go hand in hand.

I remember when people on this forum balked at the idea of the peso being 10:1.

 

[Matiasba]

Printing Money generates inflation according to some economists other than the K ones.

No, but the fact is that the UK multiplied for five its base without inflation, Japan for three, the US too.... didnt you read the threads on QE?

 

[Rich One]

No, but the fact is that the UK multiplied for five its base without inflation, Japan for three, the US too.... didnt you read the threads on QE?

I understand your position, increasing the monetary base does not necessarily create inflation, its OK

 

[Matiasba]

I understand your position, increasing the monetary base does not necessarily create inflation, its OK

Im just asking, Im not an expert, I am based in what I read here and what I heard.
And the facts. QE in these countries did exist, and I do not remember big inflation rates.