You are absolutely correct here.. However, I would like to shine a light on one important detail. A falling currency means very different things to different economies.. One that exports a lot will find the value of ite exports falling, making them cheaper buyers overseas who may sense a bargain and order more from them.. That can push up productivity and support employment. On the other hand a nation that imports a lot may find an instant explosion of inflation, which puts pressure on disposable incomes and wages, leading to a loss of confidence and lower consumer spending and a collapse in employment, while interest rates make the problem worse.
Overall, a nation that supplies or makes more of its own consumables may be effected far less that either of the first two, because the costs are all contained within the borders and in the home currency. So to close. Different nations will be hit with different issues and recover at different speeds.😷
