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Travelling through the Panama Canal from the Atlantic to the Pacific, which way do you go?

South-east

The isthmus curves, so the canal runs north-west to south-east. The Pacific entrance at Panama City is about 40 km east of the Atlantic entrance at Colon.

Which country abandoned its own currency for the US dollar in 2000?

Ecuador

After hyperinflation and a banking collapse, Ecuador adopted the dollar outright. El Salvador and Panama also use it, and several other economies are partially dollarised.

Which country has the world's largest merchant shipping fleet by registered tonnage?

Panama

Panama operates an open registry, so ships from all over the world fly its flag for regulatory and tax reasons. Liberia and the Marshall Islands run the next largest.

Why does the Panama Canal need locks at all?

Ships must be raised to a lake

Gatun Lake sits about 26 m up, so ships are lifted and lowered again. The two oceans differ in mean level by only about 20 cm, which is not the reason.