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Sir Moby, you are correct. The current administration is using the same techniques that Ronald Reagan used, the old "voodoo economics" (they call it trickle down). The theory is you cut taxes for the rich, and they hire more people and spend more money, which drives the economy.
Sadly, most rich people spend the same regardless, so a change in their taxes only serves to raise the US debt, lower the value of the US bonds, and as a result, lower the value of the US dollar.
it is doubly worse this time because the decreases in tax revenue has been matched with totally insane increases in spending (certainly due to 9/11, followed by the wars in Afghanistan and Iraq) that have left the US reeling. Normally the trick for the republican president is to ignore this for his entire term, lumping the "pay the tab" part onto the next democratic leader, who will then be labeled a "tax and spend" liberal - no realizing that the expenses were generated by the conservative republican that came before him.
There is very little indication that the US will do anything in the next couple of years to help the situation, except perhaps to push the interest rates up slightly to stop the dollar from falling much past the 1.4 or 1.5 euro level. That will still be a VERY painful level for most businesses, and will certainly have effects for all webmasters outside of the US getting paid in US dollars.
We really do need a good list of Euro payment sponsors!
Alex
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