The Federal Reserve plays a tremendously influential role in the U.S. banking system. They do not, however, have the level of influence that some people attribute to them, and they certainly do not unilaterally control the money supply or interest rates. You, and your neighbors, still have the greatest influence.

With that in mind, we will depart the crazy world of the Federal Reserve Banks and return to You and Your Bank to see some other influences you have over the money supply.