To all those who say, "The Fed is printing money and it controls the money supply and it's debasing the currency and causing inflation" and whatever else...
Here is a chart of the monetary base against M2. As you can see, the base (which the Fed has direct control over) had zero correlation with M2.
Zero correlation.
2 comments:
looks like M2 has been here there and everywhere and now back to about where it was pre GFC...
rsp,
Matt,
For M2 we are looking at y-o-y changes in %. So it is not at the 2007 level.
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