Tag: PPI

Inflation: A Visual Representation

Inflation: A Visual Representation

Inflation is the result when money supply growth outpaces an economy's ability to produce goods and services. We use M2 in the below chart to represent the money supply (the thin blue line). We use the The Producer Price Index (PPI) and Real GDP as productivity proxies. The PPI is measured by the thin red … Continue reading Inflation: A Visual Representation