"A number of economists have been asserting that the Federal Reserve (the Fed) has engaged in a prolonged bout of money creation, creating a "sea of liquidity" tha has been expected for some time to generate a sizable rise in inflation. My problem with these asertions is that I cannot see the sea.

While it is true that broad money measures, notably Money with Zero Maturity (MZM) and Broad Money(M2), have experienced higher growth over the last year or so, the Federal Reserve balance sheet (Reserve Bank Credit), bank reserves plus ….."

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