why government officials mind another country buying their currency. The market intervention means buyers are weakening its currency and their currency is gaining the strength.
In a theory, people have to work harder to gain foreign currency and to import stuff. But while exporting countries are buying the currency, importing nations does not have to work. The exporter is financing the debt, so importers do stay on couches and wait till exporters will bring their products.
Certainly, this life style has a limit when exporters are unable to finance the debts. Then, importers could start working after that.
there is not currency war on weakening its currency. if there is the war, it always is the war on strengthening.
In a theory, people have to work harder to gain foreign currency and to import stuff. But while exporting countries are buying the currency, importing nations does not have to work. The exporter is financing the debt, so importers do stay on couches and wait till exporters will bring their products.
Certainly, this life style has a limit when exporters are unable to finance the debts. Then, importers could start working after that.
there is not currency war on weakening its currency. if there is the war, it always is the war on strengthening.