Money, Velocity, Levels, and Changes
Why did velocity decrease during the pandemic? What was the impact on monetary policy? How is the growth rate of M2 related to its level? Continue Reading →
Tag Archives: money
Inflation, Its Causes, and Money
The only way to lower inflation is to reduce the growth rate of the money supply. The growth of M2 has exceeded 10% since March, 2020. Continue Reading →
Money, Income, and Wealth
money is used to purchase goods and services. While income and wealth are valued in money units, that is their only relationship with money. Income is the annual flow of purchasing power earned by an individual. Wealth is the accumulation of past saving plus any increases or decreases. Continue Reading →