United states money?
Answer:
In 1944 there was a meeting in Bretton Woods New Hampshire, where the industrialized nations got together & made an agreement, that because the American dollar was convertable into Gold @ $35 dollars = 1 ounce of Gold, the world would use U.S. dollars as the international monetary settlement money
This meeting was called ,"The Bretton Woods Agreement."
The U. S. dollar, & none of the other worlds currencies, are any longer convertable into Gold, but because of this old agreement U. S. dollars are accepted in most countries,,,,,,,,,at least they were untill last Friday!
******************************...
My thoughts are that you can spend any countries money anywhere, it is just that US money is generally accepted more easily, everywhere, then others. Its kind of like a major name brand items vs a name you have hardly heard of. You will most likely choose the name brand because of guaranty of value. I hope i explained that rite. ~s~
The US currency is acceptable because it is accepted. People worldwide have learned to trust the US to do a fairly decent job of maintaining the value of the currency.
The US dollar does not obtain any power because it is the most commonly used medium of international exchange. This is a convenience for travelers, exporters, and importers.
There are about 180 countries each with its own currency. It is much easier for each country to quote its exchange rate in terms of dollars rather than 180 different exchange rates. This role of the dollar may be replaced by the Euro or perhaps the Yuan if the Chinese economy becomes the dominant economy in the world.
For example, if you are a Vietnamese citizen traveling to Europe, it is more convenient to take US dollars with you rather than the Vietnamese dong. You are more likely to be able to exchange the dollars into Euros at a good exchange rate than attempting to exchange the dong for Euros since there are few transactions exchanging the dong and the Euro.
The US economic structure is the most imitated and admired economic structure in the world. The US is the world leader in technological innovation. The US has a stable military and police force that maintains order and ensures that marketplaces are generally safe. For all these reasons and several others, the US dollar is the world's currency of choice.
The answers post by the user, for information only, FunQA.com does not guarantee the right.
More Questions and Answers: