[econjack]

This isn’t rocket since, people. The Equation of Exchange says:

MV = PQ

where:
M = money supply (often measured using M2)
V = the velocity of money (how fast money “turns over” and almost constant to the last 50 years)
P = Price index (desire is for this to be constant)
Q = Output of goods and services (hopefully growing)

Because V is almost constant and P should be constant (no inflation), if Q grows by 3%, M should grow by (M + .03)/V, which is less that 1%. Actually, since economic growth has been less than 3% under Biden, growth in M2 should be almost nothing. Instead, look at what’s happened during his administration:

https://fred.stlouisfed.org/series/M2SL

Yellen’s only part of the problem. You also need to pillory and post Jerome H. Powell as the Fed’s chair for the control of M2.

[frogjerk]

Q is not growing by 3%. That is BS

[joe fonebone]

Not rocket science, but a foreign language.
Can someone take this gobbledygook and explain it in clear english

[frogjerk]

I agree with you. M2 growth needs to stop (sorry Fedzilla and Wall Street) and Government spending needs to full stop. But this will cause a recession. What goes up must come down. It is going to be difficult for sure but...

There is no such thing a as a free lunch - Friedman