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Since Fiat money (paper banknotes) are often based on the strength of an economy of the country that issued it, it is unlikly that a bigger economy would be able to use the currency of a smaller economy due the amount of currency being printed (in circulation). The issuing country would avoid printing to much paper money, since they are a form promissory ...


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United States of America used Spanish dollar as the (sole) currency until 1792 - it even remained a legal tender until 1857. EDIT: In 1820 (when the Spanish dollar was still a legal tender and widely used), US GDP was 12548 million dollars (in 1990 US dollars), Spain 12299 million dollars – and US grew very rapidly very soon since then, while Spain stagnated....


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