One of the ongoing arguments about Modern Monetary Theory (MMT) that I run across is the general disdain for monetary policy among MMT proponents. (At one extreme, Warren Mosler argues that interest rate policy works in a way that is backwards versus the consensus.)Interest Rate Policy IneffectivenessThe MMT position is straightforward, yet critics seem incapable of framing it correctly. Although Mosler is not alone in his views, many academics have a more nuanced position: interest rate policy has mixed effects, and is much weaker than the mainstream assumes is true. (This is in line with many post-Keynesians, although post-Keynesians are all over the map in terms of specifics. I believe it is safe to say that some post-Keynesians have views about monetary policy that are extremely hard
Topics:
Mike Norman considers the following as important:
This could be interesting, too:
Stavros Mavroudeas writes «Οι καταστροφικές επιπτώσεις της ΕΕ στην Ελλάδα και τους εργαζόμενους» – Στ.Μαυρουδέας ΠΡΙΝ 20-21/4/2024
Stavros Mavroudeas writes «Κοινωνικές επιστήμες: είδος υπό εξαφάνιση;» – εκδήλωση Παντειέρα-Attac, 23/4/2024, 5.30μμ Πάντειο
Joel Eissenberg writes Credit where credit is due
Bill Haskell writes Trump’s election interference trial in Manhattan
One of the ongoing arguments about Modern Monetary Theory (MMT) that I run across is the general disdain for monetary policy among MMT proponents. (At one extreme, Warren Mosler argues that interest rate policy works in a way that is backwards versus the consensus.)Bond EconomicsInterest Rate Policy Ineffectiveness
The MMT position is straightforward, yet critics seem incapable of framing it correctly. Although Mosler is not alone in his views, many academics have a more nuanced position: interest rate policy has mixed effects, and is much weaker than the mainstream assumes is true. (This is in line with many post-Keynesians, although post-Keynesians are all over the map in terms of specifics. I believe it is safe to say that some post-Keynesians have views about monetary policy that are extremely hard to distinguish from conventional ones.) Whether or not MMT proponents’ policy prescriptions have merit, the argument that interest rate policy is largely ineffectual is a stand alone area of debate....
Interest Rate Policy Versus Alternatives
Brian Romanchuk