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>Buying dollars outside the pittance allowed by the government is illegal Authoritarian governments stealing your foreign currency out of your bank accounts ar
by ChuckNorris89 3y ago
>Buying dollars outside the pittance allowed by the government is illegal
Authoritarian governments stealing your foreign currency out of your bank accounts are orthogonal issues to USD being a good anti-inflation currency.
Growing up in post-Communist Eastern Europe, everyone was using USD but the banks or governments wasn't touching them. People exchanged USD on the black/gray market and storing them at home in safes or various hidden ways. No government and no banks. It worked quite well while it lasted.
Then the Euro came and our own currency got pegged to that so it's less common today except for expensive items like fancy cars or real estate.
- TT2048 3y agoWith global inflation so high, USD is no longer a good store of value.
- ChuckNorris89 3y agoExcept we're talking about currencies here, because they are meant to be traded, not stores of value. It's impractical to buy bread at the bakery with stores of value like real estate or gold. And since we're off-topic anyway, there is no global fixed inflation for everyone but each currency has seen a completely different value of inflation, and USD inflation is far lower than most other currencies that saw proper inflation. You're far far better off having your savings in USD than Turkish lira or Argentinian pesos or Russians rubles or even Hungarian Forints. USD inflation is a joke in comparison.
- chrisco255 3y agoA money has to be three things: a Store of Value, a Medium of Exchange, and a Unit of Account. Store of value is definitely in the job description: https://www.cliffsnotes.com/study-guides/economics/money-and-banking/functions-of-money https://www.cliffsnotes.com/study-guides/economics/money-and...