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  • 3
    Probably $ runs some special command in AucTeX, and that command isn't marked to as an insertion command, see delsel.el commentary Commented Mar 30, 2016 at 15:08
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    According to @npostavs's comment, try this (put 'TeX-insert-dollar 'delete-selection t) Commented Mar 30, 2016 at 15:18
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    What is the value of TeX-electric-mode? Commented Mar 31, 2016 at 21:29
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    @npostavs TeX-insert-dollar wasn't missed, it's so by design because for the features it provides the function needs to keep alive the current selection Commented Mar 31, 2016 at 21:38
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    Actually TeX-insert-dollar had in the past the delete-selection property, but it was removed in order to provide the feature mentioned above: git.savannah.gnu.org/cgit/auctex.git/commit/… Commented Mar 31, 2016 at 21:44