http://en.wikipedia.org/wiki/Impossible_trinity

Of course, if you have currency controls, a pegged currency, etc, then the situation is completely different. China can have a completely independent exchange rate and inflation because it has very strict capital controls (all foreign exchange has to go through the state bank, etc.).
http://modeledbehavior.com/2010/10/19/importing-paul-krugman

And central banks sometimes try to use “sterilization” to reduce the interaction between the internal money supply and the international capital flows:
http://en.wikipedia.org/wiki/Sterilization_(economics)
but that rarely works very well or for very long without at least some sort of capital controls.
http://en.wikipedia.org/wiki/Capital_control

You don’t say what method you’ll use to buy Krona. If you’re just going to trade cash currency for Krona, it would take tens of thousands of Dollars to make it worth your while, for so little movement.

If you use Forex, it would no longer be an “investment” because of the leverage, and would be an outright currency speculation play, which is very risky.

currency ETFs are a way to play any dollar-related trades. These ETFs are just as good as trading spot forex. The only difference is that the ETFs are not leveraged. Below is a list of some of the currency ETFs that are worth trading:

•FXA – Australian dollar
•FXB – British pound
•FXC – Canadian dollar
•FXE – euro
•FXY – Japanese yen
•FXF – Swiss franc

I’m not sure if there is a Krona ETF.
http://etf.stock-encyclopedia.com/category/currency-etfs.html

I will try to provide you with a short explanation, I hope it helps.
The value of a currency is calculated depending on certain national macro-economic factors such as inflation, the current-account deficit, public debt, the ratio between import and export prices, political stability and economic performance.
Taking into consideration these factors, each country’s Central Bank will calculate the country’s currency value and it will influence the rate of that currency, by increasing its value, if the country has a good economy and politics, or by decreasing it if the country has a weak economy.

Let’s take a simple example-posting a letter. You go to the post office to send a regular 20 grams letter from New York to Chicago and it will cost you $ 0.20. If you wish to send, this time, a 20 kilos package from New York to London, it will cost you $ 150. What influences the cost of posting an item? The distance between the sender and the receiver, the weight of the package, the speed of delivery, for example if you wish for the package to be received in 1 day rather than in 1 week, you have to pay extra.
Same idea applies to currency’s value, to have a strong currency you want to have a low inflation and a low public debt, good exports and political stability. Since these factors vary in time, the value of a currency varies as well.
If at a specific time the value of EUR is 2.5 and the value of USD is 1.6, when you divide them to get the exchange rate, EUR/USD = 2.5/1.6=1.5625 which means that 1 EUR = 1.5625 USD.

Best regards,
FXCC Representative

I suggest starting a free practice account and reading some guides. There are some decent free EBooks on the fundamentals of trading.

Despite what you see on so many sites there is no “easy” “set it and forget it” forex strategy.

Learn > Practice > Start Slow > Maybe make some money

http://forexindicators-metrader.blogspot.com/

Under official dollarization the local currency is completely replaced by the dollar, with the possible exception of coinage. That means domestic banks only accept dollar checking accounts and issue dollar loans. Federal Reserve notes are legal tender and the only form of paper money recognized by the government.

Before its latest political and economic crisis, Argentina operated under a currency board system that maintained an exchange rate of 1:1 between the dollar and the peso. That required holding sufficient dollar reserves to fully back the pesos in circulation. The dollar was recognized as legal tender along with the peso. Argentina has since abandoned the peg to the dollar and gone to a floating exchange rate for the peso.

In the wake of the Asian and Brazilian economic crisis, Ecuador was unable to avoid a deep recession and banking crisis. In March 1999 the government froze deposits in the entire banking system as the value of the sucre dropped. A year later, after much political turmoil, and with the help of the IMF in structuring its financial system, Ecuador adopted the US dollar as its official currency. This will be an important test of dollarization under very difficult conditions.