4 Different Austrian Money Supply Definitions
The previous posts discussed the issue as basically being MZM versus Frank Shostak's definition, yet it should be noted that two other definitions are used. Gary North appears to still favor M1, and recently the Mises Institute has started to post a definition they call TMS ("True" Money Supply). Regarding TMS some confusion has appeared, both because of the presentation on the Mises Institute web page and Frank Shostak's use of TMS to refer to his own definition. In the presentation, Shostak's article about the money supply is referenced and because of that and because of Shostak's use of the word TMS, one can get the impression that TMS is identical to Shostak's definition. However, as was noted in this comment thread on this blog and as Shostak follower Mike Shedlock also has noted, the TMS published by the Mises Institute is not identical to Shostak's definition, as TMS includes saving deposits while Shostak argued against including them, a view that he still appears to hold judging by his numbers.