why the Americam dollar is based to value the currencies of other countries..?
464752
Probably because America has been the rich and successful country for the last years and it's just a convention now.
64606
It probably just made more sense to describe the amount and then the currency.  I see some written descriptions outside the US use the currency symbol afterward, like 637$.  Maybe we should all start doing it...:-)
569467
First, go here:\n\nhttp://finance.yahoo.com/currency\n\nOne US dollar is worth .7783 Euro. One Euro is worth 1.2848 dollars. To go from one direction to the other, just divide into 1. So to see how many dollars a Euro gets: 1/(.7783)=1.2848. And in the opposite direction: 1/(1.2848)= .783 Euro.\n\nFrom these currency values, you can see that a US dollar is worth less than one Euro, for otherwise they would trade 1-to-1.  Because currencies like the dollar and the Euro are not priced by the government (well they are in some ways, but typically currencies freely "float" on the free market) these values will reflect the demand for Euros versus dollars. (In some cases the central bank will intervene to change the price of the currency). \n\nThe Euro, since its inception in 1999, has tended to be "stronger" than the dollar. (i.e. you get more dollars per each Euro).  That strength might be cause by both real and perceived factors. Real factors might have to do with balance of payments (trade between Europe and the US) and perceived factors might have to do with people's perceptions about which currency is stronger in the long term.\n\nBecause our US dollar gets us fewer Euros, everything we buy from countries that use the Euro will be more expensive. But the opposite is true for Europeans: they can now buy more with a stronger Euro if they buy imported US goods.  This sets in motion some interesting politics: Exporters like a weaker dollar because Europeans will buy more US goods with their stronger Euro. But this also makes imported European goods more expensive, and that is a disadvantage for importers.\n\nIf I use my dollar and exchange it for Euros so that I buy European equities (stocks), and my dollar drops in value, I also get an economic benefit here. When I sell my European Euro-denominated stocks and convert from Euros to dollars, I will get back more dollars. \n\nMany people make money by following trends in currency prices, although to make money you have to buy and sell very large quantities of currencies- something that most people do not want to risk. Through something call price arbitrage, currencies will generally converge on one price regardless of how many are bought and sold. To illustrate an example:\n\nSay there are 3 currencies, A, B, C. A might be the dollar, B might be the Euro, and C might be the Yen.  If I use A and convert to B, and then take B and convert to C, and finally take C and convert back to A, I should get back approximately the same starting value of A I had.  The same goes regardless of which currency you start out with.  However, sometimes there are minute differences, meaning that when you get back to "A" you might end up having more (or less) than you started out with. The positive difference would be a small profit for you just for converting between currencies.\n\nThere are risks and costs, however. One cost is that every currency transaction has a price. Those who trade in currencies are in business to make money, and they will usually tax you for their services. If you have ever been to a foreign country you will notice that to buy a foreign currency you will have to pay more dollars than you get back when you want to convert the foreign currency into dollars. The difference is the profit that the currency trader makes. A second risk is that currency fluctuations happen fast and in order to make any profit you have to be very quick. You can lose a lot of money by day trading currencies.\n\nIn any case, that should give you a little background on currency exchange.\n\nPS: for 995 Euros: \n\n(995)x(1.2848)= $1,278 dollars.
1154818
At this time the US economy is based on service and technology.\nFor the most part, because Americans are richer in general than much of the rest of the world, the economy floats itself.  The services that they buy from each other keeps each other on top.
457413
netherlands uses the euro\nit is worth more than us$
67117
The amount of money is constantly fluctuating.\n\nEach country regulates its own currency.  If you print too much, the value of your currency will decrease.  The value of the money is based on the country's productivity.  The USA has the biggest GNP at $11.75 trillion.  A country's currency will go up or down in value based on the actions in that country.  If it prints more money, its value will drop in comparison to other countries that are not printing out more money.
47628
There is no "why" to it. Each unit of currency exists independent of the others; some will have a higher value than the dollar, others will have lower value. Some may even start out higher and be lower later due to inflation.
1107240
When someone from country A buys something from someone in country B, person A's money is first converted into the currency of country B, and then the product is purchased. If A buys more from B than B buys from A, the demand for B money relative to A money is greater, and the price of B's currency has a tendency to rise relative to A's currency. Example: the US buys more goods from China than China buys from the US. This makes pressure for the Chinese currency to rise relative to dollars, but the Chinese government prevents the appreciation of their currency relative to the dollar, in part by purchasing US debt, in the form of US government bonds. This keeps the price of their goods cheap.
1019477
The currency value of a country is estimated due to that country's gold reserves ( Who was created by US after the ending of World War II ).\n\nSorry, I cannot answer your second question since I don't know the answer.
395167
Currency is money. It means how much money is worth.
510758
It is when the dollar assumes status of primary reserve currency in the international financial architecture.  It prevents exporting nations from spending domestic dollars they earn from the U.S. trade deficit and forces them to finance U.S. capital surplus.  This sends wealth to the U.S. in exchange for the privelege of financing U.S. debt to further develop the U.S. economy.\n\nThanks for asking this, had never heard of it so I learned something new today!  I just had to look it up when I read it, make sure you weren't making something up.  :)  No offense intended.
66128
well, as USD means us dollars ,,, then 861.20 USD is 861.20 amercian dollars .... ha? ;-)
431433
This depends on the current political/economic welfare of the country that distributes each currency.\n\nFor instance, when the U.S. overthrew Saddam Hussien, the worth of the currency in Iraq dropped drastically.  Therefore, it was a great time to purchase Iraq currency, because from that point on it could only go up in value.  There are not many U.S. banks that exchage their currency with U.S. currency, however.  \n\nI guess my first statement probably answered your question the best.  It would take a little research to learn if you would earn anything on these exchanges.  It's kind of like the stock market - you have to know when to get out.
210247
1. Because they are a stong alley of the US and don't want to devalue the Dollar. \n2. Because they do not want to lower the value of their own currency.
62486
The short answer to it, without the politics and complicated retoric, is that we have faith in our monetary system.  Without that the value of the dollar on the world markets would drop like a stone and go through devaluation.  It's ALOT more complex than that but that is what it comes down to. (saw a show about it on the History Channel last week or so)
624624
Most currencies are floating. That means it is like the stock market. If the economy is good one day, the dollar is stronger. If unemployment rises, it may get weaker. It is all about supply and demand. It is constantly changing.
307831
Currencies are based on purchasing power, and interest rates in nations. If there are high interest rates that exsists in say the U.S. and low interest rates in Japan the exchange rates will move in the favor of the U.S.  If inflation is high in the U.S. compared to Kenya the U.S. dollar will fall to the shilling. To maintain equal purchasing or investing power between the two nations. This happens because in a free market world economy the prices of all similar goods and services will have very similar if not the same prices.