[chimeracoder]

> Under other measures money created under fractional reserve doesn't count

M1,M2,MZM,M3,and M4 are all affected by fractional reserve banking.

> Under some measures the same "quantity" of money at higher velocity counts as higher money supply (which arguably better reflects the effect on the real economy)

No, velocity is orthogonal to the money supply under all measures. Whether you use a constant velocity model or a variable velocity model, the velocity is a distinct factor altogether, the same way mass and acceleration are different concepts, even though they can be linked by an equation involving the sum of all forces.