by Summary:
In 2017 when a nurse pointed out that her wages had not increased for several years, then-prime minister Theresa May quipped: “There is no magic money tree.” Well, maybe Mrs May was wrong. I believe there is a magic money tree and it is coming to western economies very soon. I am talking about MMT. And strangely, MMT doesn’t stand for “magic money tree”; it’s Modern Monetary Theory.... The question, "Can we trust politicians," is really a question about the viability of democracy. The answer of the liberal faction is, yes. The response of the conservative faction is a resounding, no. Safeguards are required to protect from the excesses of democracy, e.g., descent into "rabble rule." So after the economic/financial issues are settled, the political questions emerge. This boils down to
Topics:
Mike Norman considers the following as important: MMT, MMT criticism, MMT critics
This could be interesting, too:
In 2017 when a nurse pointed out that her wages had not increased for several years, then-prime minister Theresa May quipped: “There is no magic money tree.” Well, maybe Mrs May was wrong. I believe there is a magic money tree and it is coming to western economies very soon. I am talking about MMT. And strangely, MMT doesn’t stand for “magic money tree”; it’s Modern Monetary Theory.... The question, "Can we trust politicians," is really a question about the viability of democracy. The answer of the liberal faction is, yes. The response of the conservative faction is a resounding, no. Safeguards are required to protect from the excesses of democracy, e.g., descent into "rabble rule." So after the economic/financial issues are settled, the political questions emerge. This boils down to
Topics:
Mike Norman considers the following as important: MMT, MMT criticism, MMT critics
This could be interesting, too:
Mike Norman writes Jared Bernstein, total idiot. You have to see this to believe it.
Steve Roth writes MMT and the Wealth of Nations, Revisited
Matias Vernengo writes On central bank independence, and Brazilian monetary policy
Michael Hudson writes International Trade and MMT with Keen, Hudson
In 2017 when a nurse pointed out that her wages had not increased for several years, then-prime minister Theresa May quipped: “There is no magic money tree.” Well, maybe Mrs May was wrong. I believe there is a magic money tree and it is coming to western economies very soon. I am talking about MMT. And strangely, MMT doesn’t stand for “magic money tree”; it’s Modern Monetary Theory....
The question, "Can we trust politicians," is really a question about the viability of democracy. The answer of the liberal faction is, yes. The response of the conservative faction is a resounding, no. Safeguards are required to protect from the excesses of democracy, e.g., descent into "rabble rule."
So after the economic/financial issues are settled, the political questions emerge. This boils down to different worldviews with different value systems and ideologies.
The Telegraph is a Tory paper.
So MMT is flawed, not by economics but by human nature. They say central bankers should take away the punch bowl just as the party gets going. While we may trust central bankers to do so, I haven’t been to a party yet where the party goers themselves elected to remove the punch bowl.
Democracy needs grownup supervision, you see.
The Telegraph (Registration required)
The magic money does exist - but can we trust politicians to use it?
Paddy Dear | co-founder of Tetragon, a closed-end investment company where he serves on the board of directors and investment committee
The magic money does exist - but can we trust politicians to use it?
Paddy Dear | co-founder of Tetragon, a closed-end investment company where he serves on the board of directors and investment committee