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Ecuador does not have its own national currency, circulating the U.S. dollar instead. The
advantage of using another country's currency (dollar) is:
a. The nation gains control over its monetary policy
b. The government cannot cause inflation
c. In the case of a financial crisis, they can count on the U.S. Federal Reserve to rescue them
d. The cost saving from not printing the national currency helps the government eliminate its
budget deficit.

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  • 1. Ecuador does not have its own national currency, circulating the U.S. dollar instead. The advantage of using another country's currency (dollar) is: a. The nation gains control over its monetary policy b. The government cannot cause inflation c. In the case of a financial crisis, they can count on the U.S. Federal Reserve to rescue them d. The cost saving from not printing the national currency helps the government eliminate its budget deficit.