Journal Article

A reconstruction of the Federal Reserve Bank of St. Louis adjusted monetary base and reserves


Abstract: This article summarizes a reconstruction of the adjusted monetary base and adjusted bank reserves of the Federal Reserve Bank of St. Louis. The revised figures, based on as much original source data as feasible, include changes to both the monetary (source) base and reserve adjustment magnitude (RAM). The revised figures include the new measure of RAM developed by Anderson and Rasche (2001) that interprets the operation of retail-deposit sweep programs by U.S. banks, beginning in 1994, as economically equivalent to a reduction in statutory reserve requirements. We also present new seasonal adjustment factors that incorporate adjustments for the Y2K-related surge in the monetary base and reserves.

Keywords: Money supply; Federal Reserve Bank of St. Louis; Bank reserves;

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Bibliographic Information

Provider: Federal Reserve Bank of St. Louis

Part of Series: Review

Publication Date: 2003

Volume: 85

Issue: Sep