That makes Japan's exports less competitive abroad and the country's imports more attractive at home.

A strong yen is damaging because it makes Japanese exports, a possible engine of economic recovery, much more expensive and, therefore, less competitive abroad.

However, high oil prices also would have negative economic effects, as they would cause the ruble to continue to appreciate and make Russian exports less competitive.

But that has made Chile's exports relatively more expensive and less competitive, generating complaints from producers of wine, fruit and other items.

Stock prices also fell because of profit taking and concern that an overvalued mark would make German industries, which rely heavily on exports, less competitive.

Stemming the steep slide of the won, for example, would make Korean exports less competitive.

Still, it illustrates the magnitude of the injustice being perpetrated against poor nations for which cotton might be the only competitive export.

It can be argued that this was not a bad thing for Italy - cheaper and more competitive exports, dearer imports.

These swings can disrupt economies, make a country's exports less competitive abroad and stir general talk of trade retaliation.

A stronger yen makes Japanese exports more expensive and less competitive.