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1.- It's Free. although there are some functions that are paid, for daily use just a free account which is very good.
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What does it mean to dollarize a currency?
Polarization is the term for when a foreign currency is used in addition to or instead of the domestic currency as legal tender.
What does it mean to dollarize a currency Chegg?
1) The answer is D- A Dollarize currency means a foreign country uses the U.S. dollar as its currency.
Why would a country Dollarize?
The main reason for polarization is to receive the benefits of greater stability in the value of a foreign currency over a country's domestic currency. The downside of polarization is that the country gives up its ability to influence its own monetary policy by adjusting its money supply.
How does a country Dollarize?
The main reason for polarization is to receive the benefits of greater stability in the value of a foreign currency over a country's domestic currency. The downside of polarization is that the country gives up its ability to influence its own monetary policy by adjusting its money supply.
What is full polarization?
Full polarization means taking the next step, from informal, limited polarization to full, official use of the foreign currency in all transactions. The main attraction of full polarization is the elimination of the risk of a sudden, sharp devaluation of the country's exchange rate.
Why would people in one country want another country's currency?
Why do people in one country want currency from another country? The United States uses dollars for money. When people from other countries want to buy goods and services from U.S. firms, they must pay in U.S. dollars. ... In terms of supply and demand, Americans who want to buy goods from other countries CRE!
Why is the dollar used in many countries?
The dollar's strength is the reason governments are willing to hold the dollar in their foreign exchange reserves. Governments acquire currencies from their international transactions. They also receive them from domestic businesses and travelers who redeem them for local currencies.
What does a currency board do?
Currency board. A currency board is a monetary authority which is required to maintain a fixed exchange rate with a foreign currency. This policy objective requires the conventional objectives of a central bank to be subordinated to the exchange rate target.
What is an anchor currency?
The anchor currency is a strong, internationally-traded currency (usually the U.S. dollar, euro, or British pound), and the value and stability of the local currency is directly linked to the value and stability of the foreign anchor currency.
What is polarization of economy?
The main reason for polarization is to receive the benefits of greater stability in the value of a foreign currency over a country's domestic currency. The downside of polarization is that the country gives up its ability to influence its own monetary policy by adjusting its money supply.
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