WASHINGTON — Former Treasury Secretary Robert Rubin said Tuesday that relying on a falling currency to stoke exports isn’t a “sound approach” and urged economic-policy changes that would strengthen the dollar.
“The lower the exchange rate, the less that we receive in exchange for what we produce, and that lowers our standard of living,” Rubin said. “Our objective ought to be to have a strong currency based on sound policy.”
Rubin said policymakers aren’t pursuing solutions to the country’s economic deficiencies and looming budget deficits. By contrast, Treasury Secretary Henry Paulson has lauded the U.S. economy as “healthy” and hailed demand for U.S. exports as a boon for growth.
The dollar traded at $1.4438 per euro in New York, the weakest since the European currency’s debut in 1999.
