Judy Shelton Quotes

[N]o real leader can aspire to champion both the logic and the morality of free trade without confronting the practice that undermines both: currency manipulation.

We believe in fair exchange rates and Japan doesn't practice that. They have massive U.S. dollar reserves, and they use them to intervene regularly.

If raising or allaying [revaluing or devaluing] the Money could add to its Value, or have any good Effect on Home or Foreign Trade; Then no Nation would want Money [from that nation.]

Some Countries have rais'd Money in the Denomination, when others have lower'd it; …. Some have prohibited the Export of Money under the severest Penalties, when others have by Law allowed it to be exported; Some thinking to add to the Money, have obliged Traders to bring home Bullion, in proportion to the Goods they imported. Most Countries have try'd some or all of these Measures, and others of the same Nature, and have tryed contrary Measures at one time, from what they us'd immediatly before, … that since the Method used had not the effect design'd, a contrary would: Yet is has not been found, that any of them have preserv'd or increased Money; but on the contrair.

My job was to teach the whole corpus of economic theory, but there were two subjects in which I was especially interested, namely, the economics of mass unemployment and international economics.

To achieve a more balanced international system over time, countries with excessive and unsustainable trade surpluses will need to allow their exchange rates to better reflect market fundamentals.

Since our economy is closely allied with that of foreign countries, not one of us can be indifferent to what consequences these disturbances can have at home and abroad.

Foreign trade clearly has been a reason why inflation has been low.

What there is no dispute about is whether or not China is a currency manipulator. They are a currency manipulator. They actively intervene every single day to keep the value of their currency less than it would be against the dollar than if it floated freely. We think. Even China barely disputes that.

The inevitable consequence of a depreciated currency must be a rise of prices, usually greater than the actual percentage of depreciation. To meet this situation there came a device possible in no other commercial country. The Government fixed prices at which goods could be sold. This mediaeval device could be enforced only in a land where such State interference had been habitual, and, of course, could give to the notes the fictitious purchasing power only inside the country. After the Christian Science fashion, one had only to believe the notes were of value to make them so; but in the cold world outside German jurisdiction their value would be gauged by the chances of getting gold for them.

Inflation is one form of taxation that can be imposed without legislation.

Inflation is everywhere and anywhere a monetary phenomenon.

Nearly every one of the foreign financial crises of recent decades has led to an increase in the U. S. trade deficit.

The idea that free trade encourages global economic growth by enhancing productivity is taken as an article of faith by the three major schools of international political economy: liberalism, Marxism, and mercantilism

We can’t influence other countries’ decisions if we send them a message that we’re backing away from trade.

There is no way out of playing by the rules of the international economy if you wish to be a part of it.

Hegemony of the dollar.

Unfair foreign trade practices are not isolated acts.

By manipulating its money values, a government could win large markets overseas for its exporters and thus create satisfaction at home with expanding production and employment.

When a nation devalues its currency, it, in effect, increases its tariffs.

It is not repeated large Emissions [printing] of a base Paper-Currency, but our Imports exceeding our Exports, that occasions Silver to be ship'd off in Ballance

Nations finding the Export of Money or Bullion to pay the ballance due by Trade, a loss of so much Riches, and very hurtful to Trade, might have discharg'd the Import of such Goods as the People could best want; Or laid a Duty on them, such as might have lessen'd their Consumption: They might have given encouragement to Industry, whereby the Product would have been encreas'd and improv'd, or discourag'd extravagant Consumption, whereby the Overplus to Export would have been greater; Any one of these Methods would have brought Trade and Exchange equal

If, when Money is rais'd [inflation or devaluation], Goods keep the Prices they had before. Then all Goods exported are sold for a lesser Value abroad, and all Goods imported are sold dearer.

Without international economics getting done, foreign policy doesn’t get done.

Many of the worst crises occur when there is a financial collapse in a country with pegged exchange rates. Both successful and unsuccessful defenses of a pegged exchange rate require large expenditure of foreign exchange reserves that could be used for investment or consumption. Both also require strong deflationary measures that severely reduce income, wealth, and living standards.