Exotic travel destinations for , deposits) is not controlled by the Federal Reserve. It should be apparent that the Federal Reserve cannot control the money supply in the strictest sense, but that it may influence it. The monetary base. The monetary base is directly controlled by the Federal Reserve, however. Known as highpowered money, the monetary base is defined as the sum of currency and reserves held by banks at the Federal Reserve. By law, the Federal Reserve has the power to require member banks to maintain minimum levels of reserves. These levels are determined as a percent of customer deposits. Exotic travel destinations 2016.