The fallacy is that the same dollar can "circulate round and round".

Since 1935, dollars have once more circulated on Nevis, first the British West Indies dollar, then the East Caribbean dollar.

That will come in handy now that the dollar can freely circulate alongside the colon at a fixed rate of $1 for 8.75 colons, stabilizing interest rates and eliminating conversion fees.

There were other problems as well; once dollars were circulating in a combat region, the opposing side could freely use its own stocks of dollars as currency, or acquire stocks for use elsewhere.

The government estimates 500 million dollars are circulating illegally in the Vietnamese economy and says it wants to move back towards the use of the local currency.

Since the late 19th century, dollars have circulated on Saint Lucia, first the Saint Lucia dollar, then the British West Indies dollar, and currently the East Caribbean dollar.

Before 1890, the French franc and Canadian dollar both circulated on the islands.

American dollars (called balboas here) circulate, depriving the Government of the latitude on monetary policy that allows many Latin American governments to take populist measures in moments of crisis.

But the dollars rarely circulated in the United States throughout the 1790's and the early years of the 19th century.

The rationale behind this lies in the fact that Spanish silver dollars, alternatively known as pieces of eight, were already circulating alongside the Dutch coinage, and also widely throughout the Eastern Caribbean.