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Why do Americans call the NBA champion as “world champion” when it is not a world basketball competition?

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Why do Americans call the NBA champion as “world champion” when it is not a world basketball competition?

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The National Basketball Association or NBA is a local league for American basketball clubs yet they call the NBA champion team as “world champion”. This is very confusing to people outside of North America. Because it sounds better…we should just stick to saying national champion, your right. However if I had to make a case it would be because the NBA is open to players of all nationalities and is the most prestigious league in the world excluding the real world championships and Olympics.

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