What are the advantages and disadvantages of dollarization?

What are the advantages and disadvantages of dollarization? For dollarizing countries, advantages include lower administrative costs, a firm basis for a sounder financial sector, and lower interest rates. Disadvantages include the loss of monetary autonomy, seigniorage, and a vital national symbol as well as greater vulnerability to foreign influence. Is dollarization good or bad? Dollarization … Continue reading What are the advantages and disadvantages of dollarization?