&gt; By that logic every country should continuously weaken it&#x27;s currency in order to gain an advantage.<p>It might be an advantage for most people in the country (at least in the short term), but it would be a disadvantage (even in the short term) for the people with the most <i>wealth</i>, and, perhaps more specifically, for the people with the most power over monetary policy.<p>The advantages (particularly in the near term) that countries get from weakening currency is why the people who loan them money have come to insist than monetary policy should generally handled by independent central banks that are, while generally accountable in some way to government, also somewhat insulated from political pressure from the rest of government (and, often, with direct influence from the financial industry.)