Money Supply Primer
MZM
from fxstreet
MZM has become one of the preferred measures of money supply because it better represents money readily available within the economy for spending and consumption. This measurement derives its name from its mixture of all the liquid and zero maturity money found within the three "M's."
current chart
economagic.com
M1
investorwords.com
One measure of the money supply that includes all coins, currency held by the public, traveler's checks, checking account balances, NOW accounts, automatic transfer service accounts, and balances in credit unions.
M2
investorwords.com
One measure of the money supply that includes M1, plus savings and small time deposits, overnight repos at commercial banks, and non-institutional money market accounts. A key economic indicator used to forecast inflation.
M3
investorwords.com
One measure of the money supply that includes M2, plus large time deposits, repos of maturity greater than one day at commercial banks, and institutional money market accounts.
current chart
economagic.com
Making Sense of Money Supply Data
There are many available definitions of the money stock: M1, M2,
M3, MZM, and a host of others. Frank Shostak says that it actually does matter which one we use. Citing the work of Austrians, he argues for a uniquely Austrian definition of the money stock that only counts money and doesn't count investments. The AMS is consistent with Austrian theory, gives a realistic picture of the actual facts, and also serves as a better tool for forecasting.
[This is a good read, written it seems in 2003, yet the charts inside seem up to date - mish]
mises.org
Money AMS Display Weakness
Another good article on Current Money supply
mises.org
Mish |
