If the compulsions of short-term and long-term policies point in different directions, how can these be harmonized, especially since the long-term is a stringing together of the short-terms? How can G 20 commitments and the “Mutual Assessment Process” (MAP) commitments and assessments accommodate such dynamic policy shifts?
The determination of exchange rates between the dollar, the euro and the yen has been thus left entirely to market forces. Fluctuations have been large: over the past 20 years the ratio between the minimum and the maximum value of the dollar-euro and dollar yen exchange rates was almost 2:1.