1) No. There are many factors involved in the devaluation. part is natural, others are likely self-inflicted, others are in between. For example, our addiction to foreign imports (such as oil) are probably the biggest factor.

2) You can't make a blanket assumption on who it helps and who it hurts...most people are both helped and hurt...If a particular European is a consumer of American goods, then he is helped by lower prices. If that same European works for a company that exports goods to the US then he might lose his job as European exports appear more expensive to the American consumer. Investors are also both winners and losers. Overall, I would say American consumers are the biggest losers as they are forced to pay more for their imported products; however, American businesses (and hence job seekers) will see a higher demand for home grown products. In theory, it should all balance out in the long run.

3) I don't know and don't care. US Currency is readily exchangable for Euros, oil, gold, or whatever standard you want to compare it to.

4)Not likely. Anyone preaching that noise might as well be screaming the sky is falling. (If it is were all gonna be wiped out anyway). That's not to say we shouldn't be prudent, but the best prudence is diversification against all potential problems, not just the far out threat that the world is on the brink of turmoil and possible destruction.

5) Don't buy gold. Buy gold stocks. Real Estate is another hedge against inflation, although local market conditions are often a more important factor, and in some markets prices might be grossly overvalued. Pretty much any company that has its results tied very closely to the price of commodities should be a much better bet than the hard assets (such as gold, silver, etc...). Companies that export American goods should also do well.

Scott Evil

P.S. If you really think the dollar is about to plunge, mortgage your house and all other assets to the hilt and buy gold stocks. IF (and that is a real big if) you are correct, you will make a fortune and be able to pay off your mortgages in grossly inflated dollars. IF you are wrong, you'll probably lose your house and everything else...But hey, you only live once!