I wouldn't buy euros.  You can't eat them.

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Gardening tools.  Solar panels.  Bicycles.  Seeds.  Firearms.

DoctorMason,

I trust that you're talking about the value of the Dollar on the International Market.

When the Dollar devalues on the International Market, it makes Exported Goods more attractive in foreign countries. That means that fewer manufacturing jobs are sent offshore. For years, we've had a problem with importing a lit more than we exported because the Dollar was so strong (That's really bad). A weaker Dollar (to a certain extent) actually helps our econemy by pulling money into the country from other countries around the world. When we import more than we export, we're sending money to other countries and boosting their econemies.

This situation that you've described is actually intentional and somewhat controlled. There's nothing to be worried about because it actually helps the job market.

Even if you're not in the job market yourself, a booming job market helps the overall domestic econemy. This benefits you too.

I see  your point about a crummy exchange rate for foreign travel. If you plan on doing a lot of it, talk to a Financial Advisor and let them help you develop an investment strategy that will fit with your plans. There's a lot that can be done in this area.

For those who are not worried about the dollar sliding in value...look no further than Argentina. In 2001 Buenos Aires was one of the most expensive cities in the world, Argentina had a large middle class...as the Pesos devauled, a hugh section of the middle class became poor, now visiting Argentina is a bargin. But for the avg. person...life is hard do to the devauled pesos.

I put my money into property, stocks (foreign & Domestic) and art.

The value of the Dollar (and/or the Euro) certainly has an effect on foreign travel.  If you are planning a lot of foreign travel, you should consult an advisor on the best way to save money for that specific purpose.  The value of the Dollar also has an effect on the national economy, in a macro sense.  It's not about what you personally import or export, it's about imports and exports on the national level.  As Tony explained, the value of the Dollar effects our overall economy in this respect, not our personal savings.

So, about savings for retirement, I haven't seen any indication that retirement savings are losing value (unless you work for Enron).  Certainly not on the scale that you describe (10% per year).  My personal retirement account is growing, both by continued investment on my part, and by appreciation of the value of the investments within the plan.  The same is true for my wife's retirement plan.  In fact, I have studied several qualified plans from different providers, and the vast majority show positive growth in appreciation over the long term as well as over the last year.  If you are retired or near retirement, you should probably think about the risk level of the investments you have.  An advisor can certainly help with this as well.  But I'm really not sure what you are worried about, unless you want to retire and have just now thought about saving for it.

By the way, I'm not in the top 1 percent, but my personal cost of living hasn't outpaced my income.  In fact, my personal cost of living hasn't increased enough to mention over the past several years.  My discretionary spending has increased to match my income growth, but on balance, those things that I always have to pay for are pretty constant.  You know, in the U.S., we have control over our personal economy.  We get to choose our job, and our line of work.  We also get to choose our house and our car, our clothes and our diet.  When we are not satisfied with any of these things, we have the power to change them.  Of course it's not always easy to do so, but we can make the decision to change jobs or buy a different house or sell our car.  And, if we decide to make changes in our personal economy that cause our personal spending to increase, we will have to deal with the consequenses.  The government doesn't have to dictate our personal economic state.

Dear sfinboston7 ,

Unless my understanding and comprehension of the comment from BJD are incorrect, what you are mentioning about Argentina can't happen here. Or, according to BJD, if one has the "right" investments and enough Real Estate s/he should'nt worry.  Actually I think your observation of Argentina is a prime example and should be a lesson to us all.

http://switchboard.real.com...
As for foreign travel, I think most people tend to visit where their money is superior, stronger, and purchases more. So BJD, what do you think when  you read articles such as: NEW YORK (MarketWatch) -- The dollar fell against the euro Friday, ending the year with a roughly 11% loss versus Europe's single currency, on growing expectations the interest-rate differential between the U.S. and the euro zone is poised to narrow soon. 

Is this not an indication that simply by putting my cash into euros and leaving them in an account, that I will have gained roughly 11% in just one year? Is anyone able to tell me where here in USA I can get such returns with little or no risk , or why I should continue to have faith in the dollar?