Dec 2007 $829 billion U.S. dollars in circulation - Economics -- Two Plus Two Poker Forums

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Dec 2007 $829 billion U.S. dollars in circulation

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10-03-2008 , 06:13 PM

A_C_Slater

Carpal \'Tunnel

Join Date: Oct 2004 Posts: 8,348

According to this article from the Federal Reserve Bank of New York there was $829 billion total U.S. Dollars in circulation during the Dec of 2007 and the majority of it was held outside the United States.

http://www.newyorkfed.org/aboutthefe...int/fed01.html

So if this is true and this bailout package is for $800 billion dollars then does this mean the money supply will effectively double? Will this mean the long term value of the dollar will be cut in half?

Help me to understand. I am an economics noob.

10-03-2008 , 06:17 PM

econophile

Carpal \'Tunnel

Join Date: Jul 2005 Posts: 11,306

that figure is for currency, which is printed bills

most dollars only exist electronically

see this page: http://www.newyorkfed.org/aboutthefe...int/fed49.html

m2 money supply in April was $7.7 trillion

10-04-2008 , 07:27 AM

tomdemaine

Just tries harder

Join Date: Feb 2005 Posts: 20,056

And the M3 is .... oh that's right they stopped publishing it. I'm sure that's only because it was so well under control.

10-04-2008 , 07:29 PM

Borodog

Enemy of the State

Join Date: Jan 2004 Posts: 25,491

The money supply is an extremely complex subject. There are many measures of the money supply, and people are constantly arguing about which is the best measure for what purposes. There's M1, M2, M3, MZM (Money of Zero Maturity), TMS (True Money Supply), AMS (Austrian Money Supply), Rothbardian Money Supply, and on and on.

Whichever measure you use, however, the pattern is clear.

10-05-2008 , 07:44 AM

makemecool

Pooh-Bah

Join Date: Jul 2008 Posts: 5,365

whats the pattern boro?

10-05-2008 , 03:26 PM

Borodog

Enemy of the State

Join Date: Jan 2004 Posts: 25,491

They keep expanding it.

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