As the U.S. dollar continues its decline against other world currencies, something wonderful is happening behind the scenes. American companies are starting to export again (something they haven't done in decades), tourism is up and a buffer is being built into the declining U.S. vacation property market.

A lower U.S. dollar means many of the items American companies make are now affordable to foreign buyers who were buying them elsewhere. I have read many articles and data about our shipping channels being busy shipping our goods abroad... something that has not happened in years. This is good for American business.

Americans won't be traveling as much to Europe in 2008 because it is just too expensive in American dollars. But because of the weak U.S. dollar, we should see tourism really pick-up in the months ahead, as foreigners find traveling in the U.S. becoming cheaper and cheaper. I predict the shops along 5th Avenue in New York will boom in 2008, as foreign buyers flock to buy luxury goods at even cheaper euro and yen prices.

We all know the property market in the U.S. is in trouble. The boom is over, the bust is in. But what is a European who has a vacation home in the U.S. to do? He or she could sell and take a hit on their currency. But that will not happen. Europeans, Canadians and South Americans will likely continue to hold their American property, playing the currency waiting game. And all those foreigners that were looking to buy property in Florida, Arizona and California... well, because of the declining U.S. dollar and the soft American property markets, those properties are looking very attractive to foreigners right now.

I have often written about the severe problems the U.S. economy is facing. But the best thing -- or should I say the best medicine -- America has going for it right now in the declining U.S. dollar. If the people in Washington and at the Fed can slowly continue to decline the value of the U.S. dollar without having it collapse all at once, the declining value of the greenback could be the savior for the fragile American economy.