Economist Frederic Emam Zade advocates the free circulation of multiple currencies and not the dollarization of the Dominican economy, which he estimates would cost RD$2,000 million. He felt this would be improductive and would not generate new resources. Emam Zade says the US economy is not necessarily in tune with the economic needs of other countries. For example, he said, what if the DR needs a monetary expansion of 15-20% per year, and the US only needs 6%, then the DR could suffer a recession if it were tied to the US dollar. He says the DR cannot tie itself to a single currency. He favors legalizing the circulation of the US dollar along with the Euro. He said those that favor dollarization feel it will prevent the government from overspending and printing money. “All governments execute the budget as they want, and no one reproaches them. Also, at present there are 110,000 more government jobs than needed and no one is protesting this situation,” said Emam Zade.
