how a lower currency value isn’t a sign of poor economy like in Japan?

Question

how a lower currency value isn’t a sign of poor economy like in Japan?

In: Economics

Answer 1

Stability is a factor that matters a ton more than what the base arbitrary “unit” is. For example, 1 cent being so useless doesn’t mean the US economy is doing badly, and if you started expressing everything in cents rather than dollars ($100 = 10,000 US cents), you’d actually be on a comparable level to yen (100 US cents ~= 150 yen) and still you change nothing.