Interesting discussion between James Ahiakpor & Roger Sandilands on 
the definition of money. I'm not sure the Federal Reserve has a 
consistent or clear concept of money. Is it Currency in Circulation, 
M1, M2, M3, MZM?

As a <i>reduction ad absurdum<i> is a Federal Reserve Note money? I 
have in my hand a 1928 $50 Federal Reserve Note. On its face it 
states "Redeemable on demand at the United States Treasury or in gold 
or lawful money at any Federal Reserve Bank." On the bottom of the 
note-"The United States of America will pay to the bearer on demand 
Fifty Dollars."

As a practical matter, Roger is correct that banks create money with 
significant control by the central bank.

Roy Davidson