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How the Federal Reserve System Works in the United States
Every Capitalist nation has a monetary system basically similar to ours. As a consequence, all have developed central banks whose duties are essentially like those of the Federal Reserve, namely, to exert control over the direction and extent of changes in the money supply.
The aim of all central banks is also the same. They want to keep their economies supplied with the "right" amount of money. If money supplies are scarce, the economy will suffer as if it were in a straitjacket. …
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