'm2' is not a word in English and it cannot be used in written English
It is not an abbreviation or a part of any recognized English phrase.
In 1993 the annual rate of growth of the M2 measure of money hit 40%.Today it is less clear that the money supply is out of control.
The broader M2 measure, which includes M1, money-market and mutual-fund accounts, soared over 10%.
So China-watchers were quick to welcome a turn in the monetary weather this week.The country's broad money supply (M2), which includes currency and a variety of bank deposits, grew by 15.7% in the year to February, slower than expected.
In 2007 liquidity was tight, with the M2 measure of money supply growing more slowly than nominal GDP.
In fact, private sector M2 is growing at less than 10%, far below the growth of nominal GDP.
The government still sets a money-supply target every year (it is shooting for 12% M2 growth this year) and regulators rely on lending quotas to influence the behaviour of banks.
MONEY AND INTEREST RATES In the year to August, America's broad money, M2, grew by 5.7%, its biggest increase for 17 months; Germany's broad-money growth slowed to 5.5% in September.
The broad measure of money (M2 + CDs) is growing at an annual 3.5%.Inflation might thus prove surprisingly hard to create even with a large monetary expansion.
Its easy money, they argue, has raised global commodity prices and spurred hot-money inflows.But despite its best efforts, the Fed has only succeeded in raising America's broad money supply (as measured by seasonally-adjusted M2) to about $8.8 trillion.
Even with all the interest-rate cuts and cash injections, the broad M2 gauge of money supply slowed to 10.1% year-on-year growth in April, the weakest figure on record.
Over the past year M2 rose by 17.5%, not much faster than the average during 1998-2003 when prices were flat or falling.
