Slide #5 - U.S. dollar money supply ' M-3
And so, as one economic problem is 'papered over' by more printing press money, which in turn is papered over by waves of more paper money created out of thin air, the U.S. dollar money supply growth is rising very rapidly and resembles the growth rate of Pinocchio's nose. This rapid growth in M-3 has been especially rapid since Nixon closed the gold window in 1971 so that he could print money to pay for Vietnam and Lyndon Johnson's Great Society program (socialism). Then paper money was printed to pay for the S&L bailout and to finance the build-up of the military industrial complex under Reagan. After a slight plateau in money growth in the early 1990s, we had a virtual explosion of growth to bail out Mexico, then Russia and Long Term Capital Management, then Asia and Y2K, and now the stock market and the entire U.S. economy, by way of real estate, stock market, and bond market bubbles.