[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance

View post   
File: 374 KB, 1721x828, Screenshot from 2022-07-27 10-18-50.png [View same] [iqdb] [saucenao] [google]
50585541 No.50585541 [Reply] [Original]

Why do asian economies have such a high money supply compared to their economies?

Ranking (USD denominated):

1) China, 38.204T USD
2) USA, 21.668T USD
3) Euro Area, 15.274T USD
4) Japan, 8.829T USD
5) UK, 3.664T USD
6) South Korea, 2.816T USD
7) Canada, 1.835T USD
8) Russia, 1.138T USD
9) Switzerland, 1.132T USD
10) India 0.684T USD
(Brazil is around 0.850T and Australia around 1.7T)

Japan had the largest M2 Money supply in the world between 1988 and 2001
Then the US from 2001-2003 (also prior to 1988)
Then the Euro Area from 2004-2011
Then China since 2011

China, Japan and Korea have a higher money supply than the US, EU, UK, Canada and Switzerland combined.

India has a similar GDP to the UK but less than 1/5th of the money supply.

>> No.50585565

wikipedia bot thread?
confused

>> No.50585698
File: 227 KB, 1714x844, Screenshot from 2022-07-27 10-58-55.png [View same] [iqdb] [saucenao] [google]
50585698

I can add China, US, EU, Japan and the UK together to get a proxy for the global M2 supply from 1996.
Replace China with Korea and get one for M2 between 1987-1996.

When comparing the gold price I think an interesting picture emerges.

In the late 80's early 90's there's still decent money printing globally which causes the gold price to move sideways despite the bubble deflating a bit and a rapid increase in mining.
However from 1995 to 2000, M2 expansion significantly decreases (notably in Japan and the EU) and the gold price deteriorates.

The trend change in both metrics (the angle between the trends) are of the same order of magnitude imo

>> No.50585706

>>50585565
No, autistic.

>> No.50585719
File: 215 KB, 1722x881, Screenshot from 2022-07-27 11-05-15.png [View same] [iqdb] [saucenao] [google]
50585719

Then from 1999 to mid 2005 the gold price and the Global M2 supply (now with china in the mix) move notably in tandem with eachother

>> No.50585749
File: 200 KB, 1721x835, Screenshot from 2022-07-27 11-08-46.png [View same] [iqdb] [saucenao] [google]
50585749

From 2005 onwards, Gold drastically outpaces Global M2 perhaps due to decreased mining output and being undervalued from 1995-2005.

>> No.50585764

>>50585749
both gold bubbles were manipulations on futures market

>> No.50585900
File: 82 KB, 1313x1099, cherry.png [View same] [iqdb] [saucenao] [google]
50585900

>>50585541
KYS you dumb fuck made me waste my time

>> No.50585927

>>50585541
all in India Sers

>> No.50585977

Asians devalue their currencies to keep their exports competitive. Whites wouldn't know about exports because they're riding on the coattails of their ancestors.

>> No.50586014

>>50585977
It's denominated in USD so it accounts for any currency devaluation.

>>50585900
Why? You made a nice chart just like I did.
Be more happy.
Why cant we all be happy?

>> No.50587661

>>50586014
Then it's the raw amount of money present in their countries. Looks like there's more money in China but more bullshit jobs in America which "stimulate" the economy by changing hands more often.

You can raise the gdp of your country by 100k by paying someone 50k to eat shit and then eating shit yourself if someone else pays 50k for it

>> No.50587997

>>50586014
You are stating that gold is overvalued but as you can see on my chart it isn't.
>gold down because mining output
Nope gold down because money had better APR than gold; once the APR is low money will flow back into gold

This market is manipultade by futures btw