Kudlow’s Latest Delusion: Reagan’s Strong Dollar Policy

Every few hours throughout the day, I take a short break. Sometimes I need some humor, and I head to the National Review. Here’s Kudlow contributing a chuckle:

Right now the greenback is in virtual freefall. It’s a disorderly drop.

Something must be done to reverse this trend, and McCain is in a good spot to do it. Remember, McCain was a foot soldier in the Reagan revolution. Borrowing a page from the Gipper — who always said a great nation has a strong currency — he should argue on the campaign trail for a dollar surge.

I wonder if it will ever occur to Kudlow or someone, anyone, on the right to check some data about St. Ronald the Reagan, the ultimate incarnation Mr. “Say One Thing and Do Another.” Case in point: The Federal Reserve’s Major Currencies Dollar Index for January 1981 was: 96.023. In January of 1989, it was 90.5499. Sure, that wasn’t the collapse we’ve enjoyed during the presidency of Bush the Incoherent (Jan 2001: 103.5074, Feb 2008: 72.5747) but it takes a full load of delusion to be simultaneously in favor of a strong dollar and Reagan’s dollar policy.