Chart of the Week: M1, M2, M3 Money Supply Components

While M2 appears to have grown the most over the past 3
decades, M3 is at presently the fastest growing aspect of Money Supply.

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M1, M2, M3 Money Supply Components

M3_110205

Source: Mark Thoma,
Economist’s View

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Coincidentally or not, this is occurring as the twin
deficits – US balance of Trade and the Federal Government budget deficits –
have reached record levels.

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Random Items:

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Quote of the Day:

“Big money is made in the stock market being on the right side of major
moves. I don’t believe in swimming against the tide.” ~Martin Zweig

What's been said:

Discussions found on the web:
  1. dan commented on Nov 14

    what is the implication of M3 rising or falling?

  2. mark commented on Mar 30

    This is just such exciting stuff. Great blog.

  3. gemma commented on May 5

    growing

  4. keith cosby commented on Sep 5

    HI, I’M IN THE PROCESS OF FINISHING MY DEGREE IN BUSINESS. I’VE BEEN TRYING TO STUDY THIS M1,M2,AND M3 MONEY VALUES. I WOULD LIKE TO JUST KNOW WHAT IS THE M1 VALUE FOR THE US FROM SEPTEMBER 03-SEPTEMBER 09 WEEK.

  5. Richard Sokol commented on Dec 31

    I’m a man of science and find it apalling that the worlds leading nation let’s it’s currency remain ominously undefined. To simplify let’s recall the old MB game of Monopoly. It’s bank had a fixed amount of cash. We must at some point clearly set the amount of M3 and announce and vote on any changes in it.

  6. Brian D’Aoust commented on Aug 16

    I too have a scientific background and can only hope that some day as the greedy become greenies that their (Yes!, THEIR currencies) will be denominated – and backed by – energy and nutrition units rather than by who’s economy is “hotest” – and perhaps least honest or responsible.
    Gold used to be universally relied upon but now surely its time – since there ain’t enough gold but a crushing need to print money and hide the result – to tie the global economy to the globe. In this way all governmental/money club finacial decisions that used to be blame-free (can’t fault a guy for trying to make a buck!) can be more readily tied to their global result let alone their motivations.

    To do this we will hopefully equate a dollar with one calorie (or whatever those totally non-scientific but highly mathmatical economists want to assign it) and whether that means a calorie from burned oil or gas or digested oats in my own body – why that is up to me.
    This will help tie “market forces” to “ecological consequences” on our dear old earth, over which – like it or not – we don’t (yet?) deserve to have dominion.

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