A proposal was made by Albert Burger and Anatol Balbach
to measure the money stock by excluding foreign holdings
of U. S. dollars. This measure termed "domestic
money stock" was tested against Ml to observe which was
the least variable and which would predict GNP with the
least error. The test were conducted by using Leonall
Andersen's "monetary model of nominal income determination."
The final results showed that due to the closeness in
the percentage change of the two measures of the money
stock, that little if any of the two measures had different
values for variability, and both predicted nominal
GNP with the same error.