Dollar It is a term from the English word dollar, in turn derived from Low German daler. This is how the monetary unit several countries, among them United States Y Canada.
The dollar, therefore, is a official coin from different nations. Currently the currency with the largest circulation worldwide is the American dollar.
It is common for the value of currencies to be compared to the value of the US dollar. This exchange rate or exchange rate is considered as a relevant indicator of each economy.
The price of multiple products, in turn, is usually defined in US dollars. In Argentina, for example, it is common for estate are priced and sold in US dollars, even when the Argentine currency is the weight.
The hegemony of the US dollar at the global level took place throughout the twentieth century. Thus this dollar became the reserve currency most important and in a fiat currency. The vast majority of International TradeIn this framework, they are specified in US dollars.
This hegemony is very favorable to United Statess. In addition to saving costs associated with currency conversion, this power can cover your deficit with the issuance of dollars.
In this sense, it is important to note that only the Mint American can issue this type of dollar. Despite this, from a known process dollarization, others state they have adopted the US dollar as their official currency. That is the case of The Savior and of Ecuador, among others.