If the dollar depreciates, so will the Australian dollar, because the international economy is interconnected now. The depreciation of the dollar is equivalent to the indirect appreciation of the renminbi. That is, when exchanging dollars, one yuan can be exchanged for more dollars.

For example, before the depreciation of the US dollar, the RMB in 7 yuan was converted into 1 US dollar, and after the depreciation, the RMB in 6.8 yuan was converted into 1 US dollar. In addition, the depreciation of the dollar will have the following effects:

The impact of dollar depreciation on import and export. The depreciation of the dollar will increase American exports and reduce imports; At the same time, China's imports to the United States will increase to a certain extent, while its exports will decrease.

Impact on employment. The depreciation of the dollar will increase American exports and alleviate its employment pressure to some extent.

The depreciation of the US dollar will weaken the US dollar index to some extent and push up the price of gold. At the same time, it will also cause domestic funds in the United States to flee in pursuit of higher returns.

In some cases, countries devalue their currencies:

1, too much debt

In the case of excessive debt, the debt pressure is indirectly reduced through currency depreciation.

2. Economic crisis

In order to cope with the economic crisis, we should devalue the currency, increase exports, reduce imports and increase the employment rate.