Mike Norman Economics

Peter Bofinger argues MMT provides intellectual justification for a ‘whatever it takes’ fiscal response to potentially the biggest global postwar economic challenge.... Social EuropeCoronavirus crisis: now is the hour of Modern Monetary TheoryPeter Bofinger | professor of economics at Würzburg University and a former member of the German Council of Economic Experts

Rep. Rashida Tlaib has proposed sending everyone in the United States $2,000 immediately and then $1,000 per month to counter the economic fallout of the coronavirus pandemic.The Michigan Democrat's plan would be financed by having the Federal Reserve create new money on behalf of the Treasury. To skirt the federal debt limit, the U.S. Mint would create two $1 trillion coins, and the Treasury would deposit them in its account at the Fed. Tlaib, a member of the small group of left-wing...

If the economy is to be saved before the pandemic wipes it out, it will happen on the public-health front. And here, the least important medically• of the three major biomedical channels now in play may well be the one that could impede economic Armageddon.... • General testing is important medically in developing herd immunity longterm. It is of immediate use economically in determine who can work.As I was driving through Albuquerque this weekend, I saw a billboard advertising free...

The US government should pull out all the stops in mitigating the economic fallout from COVID-19, not just by disbursing cash to all households, but also by implementing a federal job guarantee and many other long-overdue policies. After all, for a self-financing government, money is no object. Project SyndicateWhat Would Roosevelt Do? Pavlina Tcherneva | Assistant Professor of Economics at Bard College, Research Scholar at The Levy Economics Institute, and Senior Research Associate at the...

Now that toilet paper has become an asset in addition to a commodity.... ?Dances with BearsWAR ON THE TOILET PAPER FRONT — RUSSIA’S TISSUE BATTLES SWEDES, TURKS, AMERICANSJohn Helmer

My thoughts on the markets, Fed and other things while on lockdown here in NYC. https://www.pitbulleconomics.com/mmt-trader/?s2-ssl=yes/

Even before the novel coronavirus appeared, many American families were falling behind on student loans, auto loans, credit cards and other payments. America’s debt overhead was pricing its labor and industry out of world markets. A debt crisis was inevitable eventually, but covid-19 has made it immediate. Massive social distancing, with its accompanying job losses, stock dives and huge bailouts to corporations, raises the threat of a depression. But it doesn’t have to be this way. History...

In some earlier posts, a job guarantee is added to an otherwise condensed income-expenditure model. This enables comparisons of steady states under different scenarios akin to the typical exercises conducted in introductory macroeconomics courses. What follows is a summary of the model, bringing together aspects that are dealt with in greater depth – but disparately – elsewhere on the blog, along with brief indications of how the model can be extended to include simple dynamics and short-run...

Catching up with Brian's posts.Bond EconomicsA Comment On Ramanan's Critique Of Fulwiler's Debt Sustainability AnalysisPrimer: The Trillion Dollar Coin Ending Lockdown?Brian Romanchuk

The world is changing that is for sure. Governments around the world are promising to spend billions to address the coronavirus crisis and no-one (other than a few so-called progressives – see below) are talking about how governments will pay for the interventions. Everybody knows how. They have always known. The shams about governments not having enough money to provide adequate housing, schooling, health care, employment, other services, and a sustainable response to climate change are...