Mike Norman Economics

Richard Murphy has some issues about tax and MMT, which my essays on MMT that I posted here asked questions about.I have posted the Steve Keen video here before, but what's really interesting about this Richard Murphy article is the comments section underneath. Many people have trouble fully getting to grips with MMT.MMT is a fantastic system for producing a fairer and wealthier society. Social democracy and capitalism can work together, strengthening both. We end up with far less suffering,...

Watch oil. It could really surprise a lot of people, and the Fed.

Another excellent article about MMT. The reason the government doesn’t need to sell treasury securities, or levy taxes, to spend money is that the central bank, under the control of the treasury, can pay for everything by conjuring up electronic money. In MMT’s ideal world there would still be taxes, but their main purpose, aside from lessening inequality, would be as “offsets” to keep inflation under control. Taxes would drain just enough money from consumers and businesses so total...

Excerpt from Monetary Policy Takes Center Stage: MMT, QE or Public Banks? Now I think this is interesting, Prof. Mary Mellor says that banks issue loans but not the interest the bank requires back, so new money needs to be always lent into existence so that previous borrowers can earn it to pay back the interest they owe.That sounds alarming to me, but Prof. Steve Keen says the velocity of money will pay the interest as it cycles many times through the banks and then back out again into...

The whole article is good with Varies Varafoukis suggesting public banks in Europe to fund the New Green Deal.This is an excerpt about MMT and its critics which I have put up for discussion. MMT advocates say the government does not need to collect taxes before it spends. It actually creates new money in the process of spending it; and there is plenty of room in the economy for public spending before demand outstrips supply, driving up prices. Critics, however, say this is not true. The...

Ann Coulter @AnnCoulter Ocasio-Cortez wants a 70-80% income tax on the rich. I agree! Start with the Koch Bros. -- and also make it WEALTH tax. Ann Coulter - Tax the rich tweet

Left to its own, free market capitalism trends to stagnate, says Yanis Varoufakis, unless there is a stimulus, he adds.The free marketeers believe there is a magic number for interest rates, which the free market will set, but in practice this never happens, as Varoufakis explains. Time for MMT.  A decade after the 2008 financial crisis, faith in markets' self-regulating abilities once again lies in tatters. There simply is no single real interest rate that would spur investors to funnel...

The mainstream economists are running scared, as more and more academics look into MMT and see that it is viable. If neoclassical and Austrian School economists shout loud enough together they are hoping it will go away, but it's a good working model ready to be tried, and then people will find out that they didn't understand economics, despite their prestigious awards and acclamation, and that they had wrecked our economy.MMT is built on the work of John Maynard Keynes and Hyman Minsky. A...

Fed will end balance sheet reduction in September. Could be the end of the bull market.

Are Trump supporters the most gullible people on Earth, or are they victims of the propaganda by billionaires like Rupert Murdoch, asks Thom Hartmann? When I look around the internet and see what conservatives hate the most, it's welfare.  Trump intends to cut over 200 $billion from welfare, but poor white people, most of whom voted for Trump, are the biggest beneficiaries of welfare.  [embedded content] Back before most of us were born, President Harry Truman called out the GOP...