Weak dollar costs U.S. economy its No. 1 spot (Reuters)

[Eugene]

Source: Reuters

Weak dollar costs U.S. economy its No. 1 spot
Fri Mar 14, 2008 11:20am EDT

PARIS (Reuters) - The U.S. economy lost the title of "world's
biggest" to the euro zone this week as the value of the dollar
slumped in currency markets.

Taking the gross domestic product of both economies in 2007,
the combined GDP of the 15 countries which use the euro
overtook that of the United States when the European currency
surged to a record high of more than $1.56 per euro.

"The curious outcome of breaching this latest milestone is that
the size of the euro zone's annual output has now exceeded that
of the U.S.," the economics department of Goldman Sachs, the
Wall Street investment bank, said in a note to clients.

Taking official estimates of 2007 GDP -- $13,843,800 billion
for the United States and 8,847,889.1 billion euros for the
euro zone -- the economy of the latter passed the United
States once converted into dollars, shortly after the euro
topped $1.56.

-snip-

Read more: http://www.reuters.com/article/topNews/idUSL1491971920080314

[skooooo]

1. Wait, does this mean we're not #1 anymore??

:shrug:

[Robbien]

2. At the speed the Feds keep cutting the interest rate

resulting is even greater dollar deflation, pretty soon our economy will have a hard time holding on to any spot in the top ten of world economies.

[nadinbrzezinski]

3. But, but, my Repig "friends" told me this could never happen

you mean they... shockers, LIED?

[skooooo]

4. Since the war is paying for itself like Rummy told us...

...I can't imagine there's any problem too serious going on here.

[Angela Shelley]

5. No, they didn´t have a clue.

[nadinbrzezinski]

6. One of them was actually blinded by

my country right or wrong syndrome...

And I remember him saying, the US economy WILL NEVER crash, since we'd take the rest of the world with us.

Suffice it to say I have not talked or seen him in years.

[reggie the dog]

7. I moved 5 years ago

Now I live in the Euro Zone, I guess I made a good move.