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The value of the United States dollar has been plummeting for several years. On September 20, 2007 the United States dollar dropped to parity with the Canadian dollar for the first time in three decades, and also dropped to its lowest level against the Euro. As of May 2008, U.S. currency continues to struggle in world markets.
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Causes and Effects
Many analysts feel the housing market downturn is the largest factor in the precipitous drop in value of the U.S. dollar. The decline of the dollar has been blamed for the increased price of oil, the rise in the price of gasoline, and the sharp increase in food prices.
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