M2 money velocity crosses 0 in 2038 (23 years from now)

A spreadsheet was created to estimate the end of policy stimulus. Estimating from the fall of M2V in Q2 2006 to Q1 2015 brings a 0 crossing event in 2038 when in theory monetary stimulus will fail.

M2 money velocity projection 2015

The Wall Street game of asset bubble management can continue until 2038. It seems each bubble is deflated over 1-2 years and reflated for 7 years…

Reflations

Extending this table out to 2038-2040…3 more reflations ahead getting bigger and bigger as we’ve seen from 2000-onwards:

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