Dogs Rule on 26 October 2008
I hate to have two posts in a row, but I forgot this:
Ideally you want to keep your currency as stable as possible (which ties into an acceptable rate of inflation) that way people can feel safe when negotiating contracts in your currency without fear that they will be overpaying in the future.
If you can become a currency that is used as the standard currency in international contracts (like the US$ has been for decades and like the Euro is becoming) you currency will strengthen in time since so many contracts will involve one party having to buy US$ to meet their obligations.
