GOVERNMENTAL CONTROL OF THE SUPPLY OF MONEY

ALL school of economics are today agreed that changes in the supply of money are important for macroeconomics . In earlier centuries, it was the happenstance of gold and silver mining discoveries that dictated the chaotic trend of the money supply . today in all countries , that is a thing of the past .
it is the government is own central bank- in the united states the federal Reserve System , abroad the bank of japan , the bank of England , the bank of Italy , the Banque de France, the German Bundesbank-that determines the rate of growth of nation is money supply . if it were merely a matter of paper currency , there being no other forms of money , we would merely have to analyze how the government puts the printing press to work : to help pay for its expenditures or to lend out to private investors.