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The U.S. has maintained a stable money supply primarily through the actions of the Federal Reserve, which uses monetary policy tools such as open market operations, the discount rate, and reserve requirements. By adjusting these tools, the Fed can influence interest rates and control inflation, ensuring that the money supply aligns with economic growth. Additionally, the Fed monitors economic indicators to respond proactively to changes in the economy, aiming to promote maximum employment and stable prices. This systematic approach helps to foster confidence in the U.S. dollar and supports overall economic stability.

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1w ago

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