Economics Stack Exchange Archive

How much paper money should be printed?

Is there any simple way to judge that?

Is there any channel to view that number in history?

Answer 962

There is no simple way to judge that, demand of money in a country defines how much money we need to print and that depends on many economical, cultural and political factors.

What you're asking about is technically called "money in circulation". The amount of money in circulation differs in countries according to many economical factors.

But usually in developed countries "money in circulation" is around 4% of that country's liquidity. In other countries that might be more. For example in some countries during war-time this amount reaches 15%.

Money supply data are recorded and published, usually by the government or the central bank of the country.

Please visit Money Supply on Wikipedia to read more about it.


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