1. On the issue of currency issuance, it is actually the decision of money supply. According to LM function, supply is determined by demand. There are three factors that determine the demand for money: transactional demand, preventive demand and speculative demand. Among them, transactional demand, GDP growth and transaction volume increase all need money to increase the supply, so a country's economic growth is always accompanied by the increase of money supply (the speed of money circulation is stable and will not change easily in the short term). For example, the annual GDP growth rate in China is above 8%, so it keeps issuing more money every year.

2. The second question is that export settlement will lead to currency issuance, which is true. The bigger the surplus, the more money will be put in, which will be converted into RMB current account deposits of enterprises after settlement of foreign exchange, which will obviously increase M 1. Net export is a part of GDP, so when considering the money demand, this part is within the M 1 that the central bank plans to issue.

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