Johns Hopkins University professor and CFS special counselor, Steve Hanke wrote a superb piece on understanding money in Forbes.
He writes that “The Fed’s money supply measures are poor quality and misleading. For superior measures, go to the Center for Financial Stability in NYC, and use its Divisia M4 metric.” His piece stretches into important detail and reveals common misconceptions.
From my perspective, our monetary data have been exceedingly helpful at understanding the efficacy of Fed policy and wiggles in the US economy. Money and financial liability data are applicable for investment managers and economists of all stripes… Keynesians, monetarists, etc.
The full piece is available at … https://www.forbes.com/sites/stevehanke/2018/10/29/the-feds-misleading-money-supply-measures/