Context
Quantitative Easing (QE) is, in simple parlance, creation of money for stabilising the economy going through a shock. It intends to increase the flow of money through the economy in order to keep up the demand.
But how much is too much? What could happen when the money supply goes out of control? As sound economic theory suggests, scarcity is the mother of choice. Economics is all about making choices. Those choices are not increasing at the same rate the money supply has. As an anecdote, 40% of US$ in circulation were 'printed' in 2020.
Content
What's inside is more than just rows and columns. Make it easy for others to get started by describing how you acquired the data and what time period it represents, too.
Acknowledgements
All data sourced from stlouisfed.org
Cover image from gettyimages
Inspiration
Questions:
- Can the trends monetary base be linked to yields on government securities?
- Can any implication of future inflation be made using this time series data?