5 Ways to Survive the Dollar's Dive

What you can do: Seek out U.S.-made alternatives to the products you buy. If you know that you will be making a purchase on a big imported item, now is the time to look. With the discounting for the holiday season, you aren't likely to find it for less in the future.

2. Higher Oil Prices

One of the foreign imports that will cost more is gas. While supply concerns have had a major impact on the rising level of oil prices, the falling dollar also has had a big impact.

Oil-producing nations that export oil to the U.S. aren't willing to take the same amount for a barrel of oil when the dollar is decreasing in value, and thus demand more dollars for each barrel causing prices to rise. These increases are passed on to the consumer as higher gas and energy prices. This winter could be one of the most expensive in history, due in part to the falling dollar.

What you can do: If you have not done so yet, look at the many ways you can conserve gas, including during your commute, and control your home heating costs.

3. Higher-Priced Domestic Products

Why would domestic product prices increase when the dollar is low? Again, rising oil prices have a lot to do with it. With energy prices increasing, domestic products still need to be transported around the U.S. The increased cost of doing this ends up being passed on to the consumer as well. In addition, many of the parts that go into making U.S. products come from foreign countries. When the parts increase in cost, the products they are used in also increase in price.