The Dollar Nightmare

Where are all the Americans who create gridlock inside the Louvre?  Where are the busloads of tourists saying, “If this is Tuesday, it must be Belgium.” Where are the early birds trying to order dinner at 6:00?  They’re staying home, exploring the US, or traveling to other countries where they can get a bigger bang for their buck. Who can blame people when the dollar is going down the tubes and the Federal Reserve Federal Reserve has lowered  interest rates yet again and reserve the right to cut more.  It’s a sad commentary when the greenback is no longer an accepted currency for people wanting to visit the Taj Mahal. The very rich have the luxury of being oblivious to a few (thousand) dollars here and there. Americans are still the Hotel Meurice’s best and most numerous guests.  The saying, “If you have to ask the price, you can’t afford it,” applies to this opulent hotel that boosts one of the best chefs in Paris; Yannick Alleno has been awarded three Michelin stars for “Le Meurice” restaurant. And save room for dessert in the recently opened restaurant Le Dali, which was designed by noted designer Starck. Most of us, sad to say, have to ask.  Many, most especially Americans, who are living in Europe on dollar incomes are singing the blues. Just paying the rent or the mortgage takes on an entirely new and painful meaning. A retired US diplomat who’s married to a French woman and hasn’t lived in the US for many years says, “Like everyone else living in the EU on dollar incomes, we’ve just had to tighten our belts. Essentially, no more restaurant meals, long car trips, or evenings out, even to the movies. We’ve had to dip deeper into our ever-shrinking dollar reserve bank balances as we watch, with dismay, the exchange rate sinking daily.” He adds that American passport holders aren’t the only ones who are hard hit.  In every overseas country there are many local “hires” who have loyally worked in American embassies for years. After retiring, they’ve seen their dollar-denominated pensions take a dive as the exchange rate falls. Some are waiting, trying to figure out what to do next.  Some American expats are considering moving back to the US where most prices seem like peanuts, and dollars are actually worth something. Americans are extraordinarily inventive when it comes to unearthing ways to save money.  They’ve discovered grocery stores such as ED or Leader Price that sell off-brand products. Potluck dinners are no longer considered un-chic. When guests ask if they can bring something, hosts are fast to take them up on the offer. People are inviting friends over for movie nights (after dinner) for a glass of wine and watching a DVD. Taking taxis is considered a major luxury and most residents are using the metro, bus, or Paris’s network of Velib bikes, essentially bikes you borrow if you don’t keep them too long. Cheaper (and healthier) is walking through Paris’s streets. Skip buying clothes unless they’re really necessary and deeply discounted. When an American visitor is coming, many expats will ask friends to bring items like sheets and sweatsuits. But it’s not only Americans who are unhappy. Their absence (or impoverished presence) is having an effect on businesses that count on tourist revenues.  Americans have traditionally been excellent at parting with cash or plastic, and people in the hospitality industry anticipate their profits dramatically falling. It’s rumored that some hotels are going to set their rates in dollars in order to attract Americans. A travel agent with whom I spoke predicts that airlines are going to have promotions to entice Americans to Europe.  Even though Europeans are flocking to the US with empty suitcases to buy clothes and full suitcases to buy real estate, additional passengers are needed to satisfy load factors. A clerk at one English language bookstore admitted that the management had lowered prices. A little of something is better than a lot of nothing. A cashier at a change bureau located on the Rue de Rivoli said its American clientele has fallen off dramatically and he was having trouble exchanging Euros into dollars for customers who are US bound. There’s always been a sub-culture of people in Paris who work under the table.  Many are students who are willing to make a Euro where and whenever they can. Last night I encountered an American friend who is feeling the economic pinch. She was quick to say that where there’s a will there’s a way. Cynthia is babysitting for 12 Euros an hour. It’s augmenting her income plus her French is improving. Cynthia is someone who insists on seeing the glass as half-full, but admitted that some of the French vocabulary she was learning from her 10-year-old charge might not be considered correct at a stuffy dinner party. Maybe that’s the good news.  After all, when you’re broke and having potluck, there’s no sense in being stuffy anyway. © Paris New Media, LLC [email protected]