Category: Money Supply
The analysis published under this category are as follows.
Thursday, September 02, 2010
I Renounce Monetarism, That Money Supply is a Leading Indicator for Aggregate Demand / Economics / Money Supply
By: Paul_L_Kasriel
Monetarism, the notion that the behavior of some definition of the money supply is a leading indicator of aggregate demand, is akin to malaria. Once it is in your "system," it is very difficult to totally purge it from your system. Early in my career, I was strongly sympathetic toward monetarism. In the late 1990s, I was introduced to the Austrian school of economics, in particular, the Austrian theory of the business cycle (ATBC). I was immediately sympathetic to the ATBC because bank credit played such an important role in it.
Sunday, August 01, 2010
Austrian Money Supply Metrics, Now Global / Economics / Money Supply
By: Michael_Pollaro
On April 19th, 2010, I penned an essay called Money supply metrics, the Austrian take in which I presented the logic behind what I believe to be the correct formulation of the money supply, one based on the monetary insights of the Austrian school of economics.
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Saturday, July 17, 2010
The Money Supply Conspiracy / Economics / Money Supply
By: Richard_Daughty
Marin Katusa is Chief Energy Strategist for Casey Research, which probably made it easier for him to get his stuff into Casey’s Daily Dispatch, whereas no matter what I write, they always say to me, “This is crap! Stop sending us your Stupid Mogambo Crap (SMC)! It’s crap! It’s always crap!”
Friday, May 28, 2010
Mysterious Money Supply Discrepancies, Government Cover-up Full Horror / Politics / Money Supply
By: LewRockwell
Richard Daughty writes: Being an inveterate conspiracy theorist who is absolutely convinced that the government is full of morons, lunatics and traitors, not to mention legions of hired goons with badges, and who have, I maintain, been hovering above my house in an invisible helicopter to shoot thought-control rays into my brain all the time (zzzt!) so that now all I can hear is voices in my head urging me to “Burn! Burn everything!”
Thursday, May 27, 2010
The Deflationary Consequences of M3 Money Supply / Economics / Money Supply
By: Andy_Sutton
Given the fact that we sit on the precipice of a holiday weekend, every attempt will be made to keep this short and to the point. M3 growth has collapsed. We had pointed this out several months ago and again more recently amidst a barrage of protest emails that the printing press always wins the battle with the deflationary black hole. To date, the black hole is winning hands down. The reasons are nebulous and complex, but the point is that our broadest monetary aggregate is now shrinking. This does not bode well for our economic prospects moving forward.
Sunday, May 02, 2010
Stock Market Sentiment and Monetary Aggregates - Watch Out Paperbugs! / Stock-Markets / Money Supply
By: Adam_Brochert
The whole M1/M2/M3/MZM (among others) monetary aggregate thing is pretty dry and I am no expert on which one is most important and the fine distinctions between them. It's all paperbug drivel to intellectualize an unsustainable debt-backed paper currency system in my opinion. However, one thing is clear: when the higher monetary aggregates (e.g. M2 and M3) start declining precipitously, you can bet a recession is on the way with a high probability of being right.
Wednesday, April 21, 2010
Money Supply Metrics, the Austrian Take / Economics / Money Supply
By: Michael_Pollaro
All economists, whether they are of an Austrian, a Keynesian or a Monetarist bent, as well as nearly every investor, would agree that money plays a vitally important role in the economy. And a correct measure of its supply is an indispensable input into every economic and financial forecast. How could it not, for money is one half of every economic transaction.
Yet, despite its importance, the money supply metrics used by the majority of today’s economists and investors are seriously flawed, for they are founded on a faulty definition of money.
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Wednesday, April 14, 2010
Help the Poor by Stopping the Money Printing Press / Politics / Money Supply
By: LewRockwell
Richard Daughty writes: I am happy to note that the Tea Party, which appeals to me personally, is gaining traction and power, which adds more political overtones to my life and gets me, a shameful Republican, away from the loathsome Republicans (except Ron Paul), which have acted almost as despicably as the Democrats.
Wednesday, January 27, 2010
Fed Starting to Unwind Loose Monetary Policy, Could Trigger Secondary Recession / Economics / Money Supply
By: Gary_North
Officials at the Federal Reserve System insist that the FED will unwind its more than doubled monetary base. They do not say when. They do not say how. But they insist that they will do this when the economy recovers.
The FED has begun this process. The press has not paid any attention to this, but the evidence is unmistakable. Any time you want to monitor any of this, search Google for "Federal Reserve charts." You can see for yourself.
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Monday, January 25, 2010
Will the Velocity of Money Save the U.S. Economy? / Economics / Money Supply
By: Paul_L_Kasriel
Before we get started, let's get the forecast update out of the way. With the release of November business inventories data, we have revised up significantly our real GDP annualized growth rate for Q4:2009 - from last month's projection of 3.5% to 4.5%. Again, it is a sharp slowing in the rate of inventory liquidation that is driving this upward revision. Our projection of the annualized growth rate for final sales in Q4:2009 is 1.6%, just one tick above Q3's reported growth. So, the anticipated surge in top-line fourth-quarter growth is largely an inventory story. Unless, however, final demand begins to grow faster, the inventory story of the last year's fourth quarter will be a one-off event.
Monday, December 14, 2009
It’s “Money in Circulation” Stupid / Economics / Money Supply
By: Joseph_Toronto
During the 1991 recession (if you can call it that) Bill Clinton made a campaign issue of “It’s the economy stupid.” It’s true, it is all about the economy. But it’s also a little more fundamental than that. It’s something that people have known intuitively for centuries. In a good economy, there was always “plenty of money” and in hard times it was “money is scarce”. Things haven’t changed, except that now those responsible for money creation are intentionally clouding the picture with all kinds of economic jawboning (dutifully reported daily by the media) to create a paranoia of both hyperinflation and deflation.
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Saturday, October 24, 2009
What Is Money?, Monetary Reform / Economics / Money Supply
By: Gary_North
An obvious response to the information that I have presented in the first eight parts of this series is this: "What should we do to reform the system?" This is a nice sentiment. It ignores the obvious: "we" have nothing to say about monetary reform.
Central banking is the most brilliant device of profit-seeking monopolists and oligopolists in human history. Nothing else comes close. Hardly anyone understands it, so there is no organized opposition.
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Tuesday, September 01, 2009
Failure of U.S. Money Supply to Grow Points to Economic Stagnation and Monetization of Debt / Economics / Money Supply
By: Ned_W_Schmidt
Investors should be taking some clues from the thinking of American voters. Their view, as documented by the respected Rasmusen polling organization, is rejection of the growth killing policies of the Obama Regime. Per Rasmusen, a mere 46% of voters approve of Obama Regime while 53% disapprove. The vote is in on the economic prospects for the U.S. due to policies of the failing and fading Obama Regime, and it is in the negative column.
Thursday, June 25, 2009
Fiat Currency in Circulation, How Much Money is There? / Currencies / Money Supply
By: Mike_Hewitt
There are several different monetary aggregates used to measure a nation's money supply. These monetary aggregates can be thought of as forming a continuum from most liquid (money as a means of exchange) to the least liquid (money as a store of value).
Saturday, June 13, 2009
The Bankers Are Scared, Are You? / Economics / Money Supply
By: LewRockwell
Gary North writes: "What, me worry?"
From its beginning in 1954, the official representative of Mad Magazine has been Alfred E. Newman. He is a dim-witted looking fellow, always smiling. His slogan is, "What, me worry?"
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Monday, April 27, 2009
Money Supply Multipliers, Velocity, and Excess Reserves / Economics / Money Supply
By: Mike_Shedlock
Inquiring minds are reading the Quarterly Review and Outlook by Van Hoisington and Dr. Lacy Hunt. It's an excellent report so let's take a look at some commentary and charts.
Tuesday, April 14, 2009
Bernanke's Un-shrinkable Fed Balance Sheet / Interest-Rates / Money Supply
By: Michael_Pento
As he stated again clearly today, the Chairman of the Federal Reserve has deluded himself into thinking that when the time comes, he will be able to shrink the size of the Fed’s balance sheet and reduce the monetary base with both ease and impunity. He also has deluded himself into thinking inflation will be easily contained.Read full article... Read full article...
Wednesday, February 04, 2009
The Money Printing Secret- Collapse in the Money Multiplier / Economics / Money Supply
By: Paul_Lamont
Heroes And Villains - In June of 1966 (similar to the warm sunny days of summer in 1929 and 2007 ), Brian Wilson produced the Beach Boys' single “Good Vibrations.” Capturing the positive feelings of the day, it quickly became a number one hit. But something had changed in 1967 when the Beach Boys moved on to their next album: Smile . Read full article... Read full article...
Thursday, January 29, 2009
Fiat Currency Seigniorage ("The Inflation Tax") / Economics / Money Supply
By: Mike_Hewitt
Before becoming Governor of the Federal Reserve, Ben Bernanke co-authored several text books familiar to college students studying economics. In one of these text books, Macroeconomics , the question of whether government budget deficits can lead to ongoing increases in the money supply is both asked and answered. Read full article... Read full article...
Tuesday, January 27, 2009
Global Money Supply and the Value of Gold / Commodities / Money Supply
By: Mike_Hewitt
Mike Hewitt and Krassimir Petrov writes: Introduction - In this essay we attempt to estimate global money supply and relate it to global supply of gold. For the global money supply, we use money supply figures for currency in circulation from 86 selected currencies, from 81 independent countries and five monetary unions. For the global supply of gold, we use data from the World Gold Council (WGC). Finally, we attempt to interpret the price of gold as a relationship between global money supply and global gold supply. Read full article... Read full article...