You will often hear people refer to the dollar as the “World’s Reserve Currency” That isn’t quite true – there are five reserve currencies, but the dollar is dominant by far, being used for more world...

You will often hear people refer to the dollar as the “World’s Reserve Currency” That isn’t quite true – there are five reserve currencies, but the dollar is dominant by far, being used for more world exchange than the other four reserve currencies together – there are a number of reasons for this, but you can take it as given for now The dollar has been dominant since the Bretton Woods System, established in 1944 Being the dominant currency has given us a lot of benefits, but it is eventually self-defeating There is a huge amount of world trade, and it takes a huge number of dollars to facilitate it I have seen estimates that there are as many as 100 dollars outside the country for every one dollar inside (no one really knows for sure)

How do you think all those dollars get out into the world in order to be used for trade?