The purpose of this thesis is to understand the role of international politics, in particular the impact of the United States, on the current spate of global financial crises. This thesis understands such crises as social in nature, and therefore that they are by definition the direct result of human action rather than a natural consequence of markets. Specifically, the analysis here demonstrates that the international dollar policy of the United States supports a global economic structure that undermines the value of developing country currencies. The South Korean and Argentinean financial crises are examined in order to detail the relationship between U.S. dollar policy and developing country currency collapse. Furthermore, results from that analysis suggest that adopting a regional common currency will be an appropriate and effective strategy for the developing countries competing in under the modern floating currency regime. In conclusion, it is argued that hegemonic power should be balanced by regional cooperation among smaller countries in order to achieve global financial stability.