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14 December 2018, 15:13
How does the royal mint know how much money to produce every day?
Name: Matthew, Bromley
Qualifications: Economics background
Answer: Technically the royal mint does not know how much to produce.
The royal mint is an independent company that has a contract with the Bank of England.
The Bank of England tells them how much money to produce.
They calculate the money supply (the money going in and out of the economy) through inflation.
The Bank of England can then tell the royal mint how many coins they need.