Mexico begins paying for the wall as peso's value sinks over NAFTA talks

[charwin95]

Today's exchange rate is 1 Mexican Peso equals $.53.

An incredible exchange rate. Means massive savings for US consumers and huge losses for Mexican producers.

1. Let say Corona beer cost $0.50 before devaluation. Are you saying that after devaluation the cost is $0.50?
No. Mexicans are not that stupid. They will adjust the cost to whatever the exchange rates especially if they know you are a tourist. Maybe $1.25. That is and was always been the case all over the world.


2. When you have a business contract with foreign ( companies) countries exchange rates is one of the major part of the negotiations. You lock in to a certain rates like the average of last 4 years as an example. Unless the currencies on either sides will reach a certain high or low percentage.

We put Mexicans farmers out business because of NAFTA. On side: According to Trump we are loosing. About 90% of corn tortillas eaten by Mexicans are from US.
It will be unfair if the cost of tortillas will jump from $0.25 to $0.75.
Do not expect products like electronics, auto, medical products etc etc etc coming from Mexico to be cheaper.

 

[charwin95]

Ending NAFTA could cost U.S. up to 50,000 auto parts jobs: study

Sure there would be some job losses among industries with ties to trade with Mexico.

But the overall gain in jobs would be much higher and average pay would go up as well.

Overall gain jobs would be more much higher.
Really? How did you know that or How did you came out with that assumptions?

 

[HereWeGoAgain]

God you are a genius in rag clothes....you fucking derp there is no way that devaluation of a monetary unit is the same as paying that currency unit to create a solid structure, what a dumb-ass....you really don't know when to avoid stepping in shit do you?

That was a hilarious post, now tell me that you were simply joking and that you are not that stupid.

If you are in fact serious in saying that a currency devaluation does not equate to a payment, roflmao, then let me break it down for you with a hypothetical example.

Say there is a 1:1 currency exchange rate between dollars and marks, and there is a total amount of 30 billion dollars and 50 billion marks. If you had 100 million marks you could then buy 100 million dollars with it. The total wealth of the marks is worth 50 million dollars, even though there are not that many in circulation in this hypothetical example.

If marks were devalued to only half their previous value against the dollar, then my 100 million marks are now magically worth only 50 million dollars, for a loss of 50 million dollars were I to spend my marks in the economy that uses dollars.

This is how the Pesos devaluation against he US dollar is helping paying for the wall. The amount of value the Peso has in total is now much less against the US dollar.

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

 

[charwin95]

Ending NAFTA could cost U.S. up to 50,000 auto parts jobs: study

That is just the auto parts. How about agricultural, janitorial, electronics, electrical, medical products etc etc etc?
How about the higher cost of those products?
What happened to the companies or US farmers that relied on these program? Where are they going to sell their corns?
For Mexico they can easily buy them from China.

NAFTA has so many moving tentacles and it will be bad news for consumers on both sides if inept president will abandon NAFTA.

 

[charwin95]

God you are a genius in rag clothes....you fucking derp there is no way that devaluation of a monetary unit is the same as paying that currency unit to create a solid structure, what a dumb-ass....you really don't know when to avoid stepping in shit do you?

That was a hilarious post, now tell me that you were simply joking and that you are not that stupid.

If you are in fact serious in saying that a currency devaluation does not equate to a payment, roflmao, then let me break it down for you with a hypothetical example.

Say there is a 1:1 currency exchange rate between dollars and marks, and there is a total amount of 30 billion dollars and 50 billion marks. If you had 100 million marks you could then buy 100 million dollars with it. The total wealth of the marks is worth 50 million dollars, even though there are not that many in circulation in this hypothetical example.

If marks were devalued to only half their previous value against the dollar, then my 100 million marks are now magically worth only 50 million dollars, for a loss of 50 million dollars were I to spend my marks in the economy that uses dollars.

This is how the Pesos devaluation against he US dollar is helping paying for the wall. The amount of value the Peso has in total is now much less against the US dollar.

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

 

[Spare_change]

http://www.nasdaq.com/article/mexic...rs-other-latam-currencies-gain-20171013-00843

SAO PAULO, Oct 13 (Reuters) - Mexico's peso, hit a fresh five-month low on Friday on concerns over Mexico's future commerce ties with top trade partner the United States, while other Latin American currencies strengthened.

The Trump administration on Friday demanded that U.S.-made content account for half the value of the cars and trucks sold under the North American Free Trade Agreement (NAFTA), adding to doubts about any potential deal to renew the pact.

The peso, which has weakened as concern for the future of NAFTA has grown, dropped around 0.25 percent.

In central bank minutes published on Thursday, a majority of board members recommended maintaining a prudent monetary policy stance due to "adverse scenarios" in Mexican-U.S. ties, which could heighten risks for economic growth and the peso...

One way or another, Mexico will pay.

But they're not paying for the wall. They're paying because Trump seems to think that this whole thing will make the US more money. The EU has shown that more open trading makes EVERYONE richer, so Mexico will suffer, but so too will the US.

Is THAT the reason the EU is falling apart?

 

[HereWeGoAgain]

That was a hilarious post, now tell me that you were simply joking and that you are not that stupid.

If you are in fact serious in saying that a currency devaluation does not equate to a payment, roflmao, then let me break it down for you with a hypothetical example.

Say there is a 1:1 currency exchange rate between dollars and marks, and there is a total amount of 30 billion dollars and 50 billion marks. If you had 100 million marks you could then buy 100 million dollars with it. The total wealth of the marks is worth 50 million dollars, even though there are not that many in circulation in this hypothetical example.

If marks were devalued to only half their previous value against the dollar, then my 100 million marks are now magically worth only 50 million dollars, for a loss of 50 million dollars were I to spend my marks in the economy that uses dollars.

This is how the Pesos devaluation against he US dollar is helping paying for the wall. The amount of value the Peso has in total is now much less against the US dollar.

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

 

[charwin95]

God you are a genius in rag clothes....you fucking derp there is no way that devaluation of a monetary unit is the same as paying that currency unit to create a solid structure, what a dumb-ass....you really don't know when to avoid stepping in shit do you?

That was a hilarious post, now tell me that you were simply joking and that you are not that stupid.

If you are in fact serious in saying that a currency devaluation does not equate to a payment, roflmao, then let me break it down for you with a hypothetical example.

Say there is a 1:1 currency exchange rate between dollars and marks, and there is a total amount of 30 billion dollars and 50 billion marks. If you had 100 million marks you could then buy 100 million dollars with it. The total wealth of the marks is worth 50 million dollars, even though there are not that many in circulation in this hypothetical example.

If marks were devalued to only half their previous value against the dollar, then my 100 million marks are now magically worth only 50 million dollars, for a loss of 50 million dollars were I to spend my marks in the economy that uses dollars.

This is how the Pesos devaluation against he US dollar is helping paying for the wall. The amount of value the Peso has in total is now much less against the US dollar.

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

 

[charwin95]

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

I am talking straight to you no phony no tricks.
You said I don’t have clue. I gave you a chance by not ignoring you. But you came back with nonsense rebuttal.
Try again.

Topic is peso devaluation and wall.

 

[HereWeGoAgain]

That was a hilarious post, now tell me that you were simply joking and that you are not that stupid.

If you are in fact serious in saying that a currency devaluation does not equate to a payment, roflmao, then let me break it down for you with a hypothetical example.

Say there is a 1:1 currency exchange rate between dollars and marks, and there is a total amount of 30 billion dollars and 50 billion marks. If you had 100 million marks you could then buy 100 million dollars with it. The total wealth of the marks is worth 50 million dollars, even though there are not that many in circulation in this hypothetical example.

If marks were devalued to only half their previous value against the dollar, then my 100 million marks are now magically worth only 50 million dollars, for a loss of 50 million dollars were I to spend my marks in the economy that uses dollars.

This is how the Pesos devaluation against he US dollar is helping paying for the wall. The amount of value the Peso has in total is now much less against the US dollar.

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

 

[HereWeGoAgain]

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

I am talking straight to you no phony no tricks.
You said I don’t have clue. I gave you a chance by not ignoring you. But you came back with nonsense rebuttal.
Try again.

Topic is peso devaluation and wall.

Hmmm...so do you remember the days when Americans vacationed in mehico because it was so cheap?
What are the quantifiers in todays economy?

 

[charwin95]

Total Hogwash. You are saying that your $50 millions loss from devaluation will go towards funding a certain project. Really? Since when that has started?

You said——- The amount of value the Peso has in total is now much less against the US dollar——- That is correct. However it also mean that US product going to Mexico are more expensive = less American products sold to Mexico and elsewhere = Mexico will buy products from somewhere else = loss of US sales to Mexico = US loss.

Every time you have a devaluation like this it’s not good for both sides.

I have said repeatedly I have business in China and Mexico etc etc.
I ran into this devaluation all the time.

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

Wrong answer.
That has nothing to do with with your original statement. YOU said we can live without mexican products.
Going to other countries in replacement of Mexico——- Is an excuse but doesn’t prove anything.

What is the benefits of going to other countries in replacement of Mexico? Is that mean the products will be cheaper? Is that mean it will eliminate the trade deficits?

Why do you want Mexico to be a shit hole? Why so much hate? If the economy of Mexico is good they are less likely to come over here. Right now Mexico’s economy is looking good compared to 2016.

Last year alone we sold total of $262 billions of products and services to Mexico. Where and what is going to happen with those companies, jobs and those products if NAFTA collapses?

 

[HereWeGoAgain]

You really dont get it do you?

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

Wrong answer.
That has nothing to do with with your original statement. YOU said we can live without mexican products.
Going to other countries in replacement of Mexico——- Is an excuse but doesn’t prove anything.

What is the benefits of going to other countries in replacement of Mexico? Is that mean the products will be cheaper? Is that mean it will eliminate the trade deficits?

Why do you want Mexico to be a shit hole? Why so much hate? If the economy of Mexico is good they are less likely to come over here. Right now Mexico’s economy is looking good compared to 2016.

Last year alone we sold total of $262 billions of products and services to Mexico. Where and what is going to happen with those companies, jobs and those products if NAFTA collapses?

Why are you answering one question twice and ignoring my last post?

 

[charwin95]

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

I am talking straight to you no phony no tricks.
You said I don’t have clue. I gave you a chance by not ignoring you. But you came back with nonsense rebuttal.
Try again.

Topic is peso devaluation and wall.

Hmmm...so do you remember the days when Americans vacationed in mehico because it was so cheap?
What are the quantifiers in todays economy?

Right now vacation to Mexico still cheap.

So is that mean Mexico’s peso devaluation is paying for the wall?

 

[HereWeGoAgain]

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

I am talking straight to you no phony no tricks.
You said I don’t have clue. I gave you a chance by not ignoring you. But you came back with nonsense rebuttal.
Try again.

Topic is peso devaluation and wall.

Hmmm...so do you remember the days when Americans vacationed in mehico because it was so cheap?
What are the quantifiers in todays economy?

Right now vacation to Mexico still cheap.

So is that mean Mexico’s peso devaluation is paying for the wall?

Not really. I can go to Jamaica far cheaper.
But again you've missed the point. Back in my day you could go to mehico and beer was a quarter while back home it was three bucks.
Go to Cozumel and see what a beer costs today,it exceeds the amount I pay for one in my local pub.

Without US dollars mehico is fucked!!
As mexicans are want to do they'll retaliate against the US in petty ways such as robbing tourist which of course will piss off even more tourist and the downward spiral will continue.

 

[Flopper]

http://www.nasdaq.com/article/mexic...rs-other-latam-currencies-gain-20171013-00843

SAO PAULO, Oct 13 (Reuters) - Mexico's peso, hit a fresh five-month low on Friday on concerns over Mexico's future commerce ties with top trade partner the United States, while other Latin American currencies strengthened.

The Trump administration on Friday demanded that U.S.-made content account for half the value of the cars and trucks sold under the North American Free Trade Agreement (NAFTA), adding to doubts about any potential deal to renew the pact.

The peso, which has weakened as concern for the future of NAFTA has grown, dropped around 0.25 percent.

In central bank minutes published on Thursday, a majority of board members recommended maintaining a prudent monetary policy stance due to "adverse scenarios" in Mexican-U.S. ties, which could heighten risks for economic growth and the peso...

One way or another, Mexico will pay.

Do you understand the effect of a falling peso? Producers of Mexican goods get less for their product when they sell their product in the US but those products compared to US goods become cheaper so they have a competitive advantage. The reverse is true for Americans producers. Travel to Mexico becomes more attractive to American tourists. Travel to the US becomes less attractive to Mexican tourists.

Changes in exchange rates help some segments of an economy while hurting others. How does this raise money for Trump to build a wall? It doesn't.

 

[charwin95]

That has nothing to do with peso devaluation and financing the wall.

So you're another one trick pony when it comes to mehico paying for the wall.

I am talking straight to you no phony no tricks.
You said I don’t have clue. I gave you a chance by not ignoring you. But you came back with nonsense rebuttal.
Try again.

Topic is peso devaluation and wall.

Hmmm...so do you remember the days when Americans vacationed in mehico because it was so cheap?
What are the quantifiers in todays economy?

Right now vacation to Mexico still cheap.

So is that mean Mexico’s peso devaluation is paying for the wall?

Not really. I can go to Jamaica far cheaper.
But again you've missed the point. Back in my day you could go to mehico and beer was a quarter while back home it was three bucks.
Go to Cozumel and see what a beer costs today,it exceeds the amount I pay for one in my local pub.

Without US dollars mehico is fucked!!
As mexicans are want to do they'll retaliate against the US in petty ways such as robbing tourist which of course will piss off even more tourist and the downward spiral will continue.

You do not expect prices of commodities will remain the same after so many decades.
US$ is just the most currency used all over the world.

You do not expect Mexico and Canada to just sit and idle with out any retaliation.
One of Trump approach is to increase tariffs of products coming from Mexico. Meaning prices will skyrocketed.

Any trade wars with our partners especially Mexico ————- The biggest loser will be the consumers. That’s you and me.

 

[charwin95]

Like what? Tell me.

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

Wrong answer.
That has nothing to do with with your original statement. YOU said we can live without mexican products.
Going to other countries in replacement of Mexico——- Is an excuse but doesn’t prove anything.

What is the benefits of going to other countries in replacement of Mexico? Is that mean the products will be cheaper? Is that mean it will eliminate the trade deficits?

Why do you want Mexico to be a shit hole? Why so much hate? If the economy of Mexico is good they are less likely to come over here. Right now Mexico’s economy is looking good compared to 2016.

Last year alone we sold total of $262 billions of products and services to Mexico. Where and what is going to happen with those companies, jobs and those products if NAFTA collapses?

Why are you answering one question twice and ignoring my last post?

Which one?
Why not mention the post number that way I do not have to ask you?

I asked several questions but you have not answered any of them like post #72 and 74. WHY?

 

[HereWeGoAgain]

We can live without mexican products but mexico cant live without the US dollar.
I bet you're one of those idiots who keep asking when mexico is going to write us a check.

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

Wrong answer.
That has nothing to do with with your original statement. YOU said we can live without mexican products.
Going to other countries in replacement of Mexico——- Is an excuse but doesn’t prove anything.

What is the benefits of going to other countries in replacement of Mexico? Is that mean the products will be cheaper? Is that mean it will eliminate the trade deficits?

Why do you want Mexico to be a shit hole? Why so much hate? If the economy of Mexico is good they are less likely to come over here. Right now Mexico’s economy is looking good compared to 2016.

Last year alone we sold total of $262 billions of products and services to Mexico. Where and what is going to happen with those companies, jobs and those products if NAFTA collapses?

Why are you answering one question twice and ignoring my last post?

Which one?
Why not mention the post number that way I do not have to ask you?

I asked several questions but you have not answered any of them like post #72 and 74. WHY?

Why did you take so long to respond?

 

[charwin95]

In reality you’re one of the idiots who believed Mexico will pay for the wall.

You said———- We can live without mexican products. Really? PROVE IT.

Prove we cant.
There are plenty of countries who would be glad to take over mehico's portion of industrial trade with the US.
We keep mehico from becoming worse than a third world shithole. Without the US mehico will resemble venezuela in short order.
And of course there are a multitude of ways we can make mehico pay for the wall and they've all been discussed here on this board.

Wrong answer.
That has nothing to do with with your original statement. YOU said we can live without mexican products.
Going to other countries in replacement of Mexico——- Is an excuse but doesn’t prove anything.

What is the benefits of going to other countries in replacement of Mexico? Is that mean the products will be cheaper? Is that mean it will eliminate the trade deficits?

Why do you want Mexico to be a shit hole? Why so much hate? If the economy of Mexico is good they are less likely to come over here. Right now Mexico’s economy is looking good compared to 2016.

Last year alone we sold total of $262 billions of products and services to Mexico. Where and what is going to happen with those companies, jobs and those products if NAFTA collapses?

Why are you answering one question twice and ignoring my last post?

Which one?
Why not mention the post number that way I do not have to ask you?

I asked several questions but you have not answered any of them like post #72 and 74. WHY?

Why did you take so long to respond?

Again which one?