Lately, the U.S. dollar has fallen a lot. So far, the greenback’s retreat has been orderly. Most agree it has boosted the U.S. economy. American manufacturers, whose products are now cheaper abroad, are delighted, and President Bush is basking in their pleasure.

But falling currencies can also be a risk factor especially when the currency belongs to a global economic superpower. Some now fear a dollar meltdown that could take the world economy down with it.

Click the “Listen” link to hear Morgan Stanley’s chief economist Stephen Roach talk about the weak dollar, what caused it, who it affects, and the risks and rewards it carries.

Guests:

Stephen Roach, Chief Economist and Director of Global Economic Analysis, Morgan Stanley

Edwin Truman, Senior Fellow, Institute for International Economics, former Assistant Secretary of the U.S. Treasury for International Affairs, author of “Inflation Targeting in the World Economy”

Thomas Matthews, Executive Editor, Wine Spectator magazine.