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It represents the logical way of writing down a date. Days are smaller than months, months are smaller than years.
Logically you would say 'it's day 1 of month 12 in year 2011'. In the US for whatever reason they say 'in month 12 it's day 1 in 2011'.
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That's because Americans when saying the date, say it like "December 3rd, 2011" as opposed to "The 3rd of December, 2011". So naturally, when shortened, it will feel only natural to write is as 12-03-11 instead of 03-12-11. Unless you get a teacher who demands you use stardate.