Money in the U.S economy

The quantity of money in an economy is central to determining the state of that economy it affects the level of prices, the rate of economic growth and the level of employment. It is a mediun of exchange that people will accept for their goods or services and a unit of account for prices or debts. In addition, it can be used like property or precious metals as a store of wealth that people can save for future purchases.

Money in the United States consists of coins and paper currency. According to federal law,only the U.S treasury and the Federal reserve system can issue U.S. Currency. The treasury issues all coins,while the federal reserve and the treasury each issue a type of paper money Federal Reserve note and United States note, respectively. All U.S currency carries the nation's official motto, "In God We Trus."

Coins come in various denominations based on the value of a dollar,the penny, one cent or one hundredth of a dollar, the nickel, five cents or five hundredths of a dollar, the dime,10 cents or ten haundredths of a dollar, the quarter,25cent or one fourth of a dollar, the 50cent piece or half dollar,and the one dollar coin.

Paper money issued in the United States consists almost entirely of federal reserve notes,which are issued by the 12 federal reserve banks in the federal reserve system. These notes come in denominations of $1,$2,$5,$10,$20,$50 and $100. Until 1969 the Federal Reserve Banks also issued $500, $1,000 , $5,000 , and $10,000 notes.

The U.S Treasury issues the only other paper money in the United States today, and these notes are issued only in $100 denominations. Both United States notes and Federal Reserve notes carry the printed signatures of the secretary of the treasury and the treasurer of the United States.

American Economy

How the united states economy works?
The marriage between the united states economy and the free enterprise system has been a hugely successful one, but not one without problems. From the time of early American statesman Alexander Hamilton,there has been conflict over what should be the proper role of government in the economy,at various times government has intervened to stimulate the growth of certain industries, to regulate business when abuses began to appear, to provide protection in the form of tariffs for industries hurt by imports, and sometimes to redis tribute wealth. Government's role has ebbed and flowed, according to the needs of the time.
The United states has what is usually described as a capitalis economy. But capitalism is a term coined by Karl Marx that referred to the concentration of control of the most important parts of the economy by a small group of capitalists. By contrast, most Americans think of capitalism as meaning free enterprise, a system that benefits millions, not just a few. Free enterprise as an idea can be simply described, but it is how this idea is applied to real life that is important. This chapter attempts to describe how free enterprise works in the United States as evidenced by the historical record.