To which Iâd add that the test of a first-rate capacity for empathy is the ability to hold two opposed positions in mind at the same time and still retain the ability to think for yourself. Shoe-shifting, the ability to put yourself in the other guyâs shoes is a fundamental skill of extraordinary power. Itâs almost as magical as shape-shifting in fantasy in sci-fi. Itâs the scientific method applied to social life.
How it works/Example: A currency is considered devalued when it loses value relative to other currencies in the foreign exchange market. A currency 's devaluation is the result of a nation's monetary policy.A central bank can make the conscious effort to make its currency less valuable.f Country XYZ's currency is set at a fixed exchange rate of 2:1 to the U.S. dollar and, due to a weak economy, XYZ cannot afford to pay the interest rate on its debt outstanding, XYZ may devalue their currency. This means the central bank of XYZ will declare their fixed exchange rate to be 10:1 to the U.S. dollar.
It does no good to goose your manufacturing exports with a devaluation if your manufacturers can't buy raw materials. Euro Crisis: Reheated Megan McArdle February 26, 2013. Inflation in the high-growth economies will change the relative real wages between the counties the same way a devaluation can. Countdown to Euro Crack-Up David Frum May 30, 2012. Casting him as a Muslim is a convenientâand provocativeâform of devaluation in a society which is fearful of Muslims in general. Ignorant America Tunku Varadarajan August 29, 2010. A devaluation of those bonds, while the US debt load is rising, would not help anyone. Obama's Pittsburgh Checklist Nomi Prins September 22, 2009. Exporters would presumably like that, since it will lead to a devaluation of the shekel.