The Fed’s Money Printing Machine is Hiding in Plain Sight

The Federal Reserve recently changed how M1 and M2 are calculated, and it’s no coincidence that this change happened around the same time as when they turned on the money printer. This change has allowed them to print even more money than what they had been reporting, and it’s something that we should have seen coming from a mile away. Those who shorted the market and profited from this were the ones who saw it coming.

What is M1 and M2?
M1 is a measure of the money supply that includes physical currency, checking accounts, and traveler’s checks. M2 is a measure of the money supply that includes M1 plus savings accounts, certificates of deposit, and money market mutual funds. The Fed has changed how M1 and M2 are calculated to now include central bank deposits, which were not previously included. This change was made in order to better reflect the true size of the US money supply.

The Implications of This Change
By changing how M1 and M2 are calculated, the Fed has effectively hidden the true size of their money printing from the public. This allows them to print even more money than before without people realizing it. This is dangerous because it can lead to inflation, which devalues the currency and makes everyday items more expensive. It’s important to be aware of this so that we can make informed decisions about our finances.

The Fed’s recent change to how M1 and M2 are calculated is a cause for concern. By hiding the true size of their money printing from the public, they are putting us at risk for inflation. We need to be aware of this so that we can make informed decisions about our finances. Shorting the market may have been profitable for some in the short term, but in the long-term, we all suffer when inflation takes hold.



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By ARO

American Review Organization is a blog that fields general comments, sentiment, and news throughout the country. The site uses polls to determine what people think about specific topics or events they may have witnessed. The site also uses comedy as an outlet for opinions not covered by data collection methods such as surveys. ARO provides insight into current issues through humor instead of relying solely on statistics, so it's both informative yet engaging.