ABSTRACT
In America we have come to realize that the value of everythingstocks, dollars, D-marks, commodities-is in constant flux. One way to look at these relationships is to say when the market is very elevated that dollars are cheap, because it takes more of them to buy IBM than it did several years ago. Likewise, a market at bear lows reflects a strong dollar, because it takes fewer of them to buy stocks.
Cash itself is speculative. The value of cash, in relation to everything else, can change enormously. You cannot hide from the reality of speculative fluctuation simply by pretending it isn’t there. Your house, your stocks, even the cash money in your pocket fluctuates in value continually, if by value we mean what it will buy.
