The Falling Dollar: Ignorance Was Bliss

I've experienced something overseas I was not aware of while living in the States: the fluctuating value of the dollar. Good grief! The value of our dollar has dropped 27% since arriving in Paraguay (currency converter). As well, food prices have risen substantially.

"Most of the staples of people's diet - wheat and rice - have risen more than 50 per cent in the last 12 months and they've risen even more steeply than that very recently," said the UN under-secretary general for Humanitarian Affairs John Holmes.

The $100 that we converted to 560 thousand guaranies (Paraguayan dollar) when we arrived now yields us 400 thousand guaranies.

Growing up in the States I don't think I was ever aware of the dollar's value nor the increased prices of milk and eggs. My main economic indicators, when I came of age, were gas prices, the talk of inflation and/or recession, and job availability. However, now I'm reminded every day of our economic difficulties as I pass by the bank and see the falling dollar illuminated in bright red lights. Every time I see the dollar drop (it seems to be a daily occurrence now-a-days) I cringe and inwardly cry, "Ouch!" I'm not sure I'm experiencing the pinch more or less than anyone else living in the United States. It's possible (probable) that you all are losing 25-40% of your disposable income as well. I understand that a gallon of gas is now up to almost $4 a gallon. My sister told me that milk and egg prices have increased over the past several months.

I'd be interested to hear how the changing economy is made apparent to you and how it is changing your way of life. One thing that is certain, unless the economy makes a turn-around we will all live differently.

Thanks for your support. We are TEAM.