Understanding the Implications of Currency Devaluation

This chapter explores the concept of devaluing a currency and its implications for local industry. It discusses how devaluing a currency can provide a competitive advantage for a nation's industries and clarifies the difference between de-pricing and de-valuing a currency. Examples like splitting Apple shares are used to illustrate these concepts, as well as how China manipulates its currency. The chapter concludes by discussing the possibility and consequences of devaluing a currency for a sovereign nation like China.