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Determine in detail about money supply of Central bank
The central bank will not pay cash when it buys government securities. Instead, it will ask the seller's bank to credit the individual's account and will then credit the bank's central bank account. This procedure is equivalent to paying in cash - the monetary base will increase by the same amount in both cases (remember that the banks' assets in the central bank are included in the monetary base).
Since this will lead to an increase in deposits in the banks, the money supply will increase. By the multiplier effect, the increases in the money supply will be more than 100 million. This way, the central bank can influence the money supply several-fold by changing the monetary base.
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