A Case for Reverse Currency Wars

When inflation is low and there was little risk of rising prices, it made little sense for central banks to pursue strong currency policies. Some called it a race to the bottom or a beggar thy neighbor policy as there was little downside to having a weak currency. It was like a policy as a weaker currency stimulated exports by making them cheaper while having little impact on inflation as importers were restrained in passing on higher costs. This was often referred to as a currency war,Well, times have changed. Inflation is on the rise, companies are able to pass on higher costs to consumers due to supply constraints and strong demand, and rising commodity prices are adding to already accelerating price