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OVER the past several years> the Federal System has paid increased attention to monetary aggregates as a means to achieve the ultimate national employment and price goals. Evaluation and further development of this process has been hindered, however, by a continuing controversy about which monetary aggregate is appropriate. Specifically, the queslion concerning the efficacy of monetary actions often becomes lost in discussions about whether Ml or M2 or some other monetary aggregate is giving the best information about the monetary influences being transmitted to the economy.

Some Considerations in the Use of Monetary Aggregates for the Implementation of Monetary Policy