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Where Are You in Line?

New money doesn't reach everyone at once. Choose how much is created and where you stand — then watch what happens to what your money can actually buy.

"When new money is created, who comes out ahead in real terms — and who quietly pays for it?"

The simulator

Two choices. One consequence: your real purchasing power — what your money buys after prices adjust.

10%
0% (no new money)40% (COVID-scale)
For reference, U.S. M2 grew roughly 40% between Feb 2020 and early 2022 (FRED, M2SL).
Where do you stand in the economy?

Read this before you trust the numbers

This is a transparent stylized model, not a forecast. It isolates one mechanism — uneven, timing-based pass-through of new money — and holds everything else constant. Real economies also move with productivity, demand, policy, and global forces. The multipliers below set the direction and rough magnitude the historical record supports; they are not precise predictions for any specific year.

Show the math and the multipliers

For money growth m, the general price level rises by P = m × 0.5 (broad prices have historically risen less than one-for-one with M2, because output grows and money velocity falls). Each position's nominal resources change by m × β, then real change is (1 + m·β) / (1 + P) − 1.

  • β = 1.8Asset owner. Asset prices have risen faster than both wages and CPI across the QE era (S&P 500 and median home prices vs. CPI, 2008–2024; FRED / BLS).
  • β = 1.0Mortgaged homeowner. Home value tracks roughly with money growth, and fixed-rate debt is repaid in cheaper dollars (a second, separate benefit not shown in the bar).
  • β = 0.4Wage earner. Real median wages have been roughly flat for decades while asset prices climbed (BLS / St. Louis Fed).
  • β = 0.0Cash saver. Cash earns little or nothing in nominal terms, so prices rising erode it directly.

Sources, dated, verify before relying on them: FRED M2 Money Stock · BLS Consumer Price Index · Minneapolis Fed purchasing-power calculator. This is education, not financial advice.