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The chart above shows annual M2 growth rates (monthly data here) based on the average M2 level in each year, except for 2008, which shows the growth rate of M2 from July 2007 to July 2008.

Notice that in the inflationary 1970s period, there were 5 years of M2 growth above 12% (1971, 1972, 1976, 1977 and 1983), 12 consecutive years of above average M2 growth between 1975 and 1986, above average growth in 15 out of 16 years between 1971 and 1986. More recently, we've had five years of slightly above-average M2 growth between 1998 and 2003, and below average M2 growth for the last 5 years.

Bottom Line: Today's inflationary environment is nothing like the 1970s.

Source: Annual M2 Growth Is Nothing Like the 1970s