Difference Between Euro and Dollar

Euro vs Dollar

In this present, ongoing, economic crisis, there’s a lot of talk with regard to the value of different world currencies. The dollar is perhaps the most pressured of all currencies because many are saying that it is fast losing its value. The same goes with the Euro. However, presently, many are wondering why these currencies have to exist side by side in this tough economic time.

The Euro currency is the one used by 17 of the 27 states in the European Union which is collectively known as the eurozone (composed of Spain, Portugal, Malta, Ireland, Germany, Austria ,and Belgium among ten more). It is also important to take note that there are non-eurozone nations that utilize the Euro currency like Kosovo, Vatican, etc. On the contrary, the dollar is the principal American currency, and its territories (U.S. dollars). In addition, there are still many foreign countries that make use of the dollar like Australia, Canada, Hong Kong, New Zealand, and Belize among many others.

Just like the U.S. dollar, the Euro is still divisible by 100 cents for a Euro or a dollar. However, the bills and coins denominations vary significantly between the two currencies because of their different shapes, sizes, and colors. The U.S. dollar, for example, has coin cents in these denominations: 1, 5, 10, 25, 50, and the dollar coin. The available notes are: 1, 2, 5, 10, 20, 50 and 100. By contrast, the Euro has the following coin cents: 1, 2, 5, 10, 20, and 50. There are also two additional non-cent coins–the 1€ and 2€. The banknotes are 5, 10, 20, 50, 100, 200, and 500.

Perhaps the hardest point of comparison between the two is their value difference because this conversion changes all the time. As of this writing, 1€ is equal to U.S. $1.3293. With regard to their symbols, the Euro makes use of the symbol € while the dollar uses $. In word notation, the Euro will just state “EUR” after writing the value or amount (i.e. 400 EUR). For the American dollar, many are comfortable with writing it like this: 400 USD.

It is undeniable that the two currencies (dollar and Euro) are regarded as world reserve currencies. It is because they are kept and used by many world governments in large sums. However, they are different in many of the aforementioned aspects.

Summary:

1.The Euro is the principal currency for the 17 eurozone states and several other non-eurozone nations.
2.The dollar is the chief currency for the U.S. and its territories. It is also being used by other foreign countries like Australia, Hong Kong, and New Zealand among many others.
3.As of October 5, 2011, 1€ is equal to U.S. $1.3293.
4.The dollar has the symbol $ whereas the Euro is marked by the symbol €.