Channels of Base Money Issuance and Policy Responses in Monetary Supply

Since the People's Bank of China became the monetary authority and implemented the functions of the central bank in 1996, the regulation of the money supply is almost regulated by the channel of the base money supply. Therefore, the discussion on the historical changes of the channel of the base money supply in China and their impact is helpful to study how to adjust the money supply in the future, and then bring good guidance to the proposal of monetary policy. By analyzing the four channels of base money supply one by one, and based on the data from the People's Bank of China and the National Bureau of Statistics, this paper finds out the overall trend change and the impact of the analysis on the overall money supply, and finally puts forward constructive suggestions from the perspective of relatively deficiencies.