by Summary:
This guy is Biden‘s chairman of the Council of Economic Advisors, and he is totally, laughably, clueless.  This is absolutely MUST WATCH! https://mikenormaneconomics.blogspot.com/2024/05/jared-bernstein-total-idiot-you-have-to.html
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This guy is Biden‘s chairman of the Council of Economic Advisors, and he is totally, laughably, clueless.  This is absolutely MUST WATCH! https://mikenormaneconomics.blogspot.com/2024/05/jared-bernstein-total-idiot-you-have-to.html
Topics:
Mike Norman considers the following as important:
This could be interesting, too:
Matias Vernengo writes Milei’s Psycho Shock Therapy
Bill Haskell writes Population Growth Outcomes
Robert Vienneau writes Books After Marx
Joel Eissenberg writes Undocumented labor: solutions, not scapegoating
| This guy is Biden‘s chairman of the Council of Economic Advisors, and he is totally, laughably, clueless.  This is absolutely MUST WATCH! https://mikenormaneconomics.blogspot.com/2024/05/jared-bernstein-total-idiot-you-have-to.html |
He has a phd in social work lol
And that’s why I don’t vote anymore.
Isn’t this great news? There is so much money to be made for people who actually understand MMT and the actual plumbing/accounting
I watched the movie "Finding the Money" It was an enjoyable explanation of the basics of MMT.
Dang
Truly grateful for being a MMT Trader for as long as I have now, I only regret not getting educated sooner. Mike is the G.O.A.T. Economics Teacher! My portfolio reflects it as well.
You are up and down like a yo-yo, Mike.
Well, i was hoping Mike would answer it in his own way by the end.
I try to give people the benefit of the doubt. I don't think Jared was explaining things from an orthodox point of view. I think he was trying to explain things from an alternate point of view (in this case MMT). It would be like the difference between me asking you about the reasons for the USA supporting Ukraine in the war, and asking you to explain the reasons for the USA supporting Ukraine in the war from the Russian point of view.
I wish Mike would have answered the question that was posed to Jared Bernstein.
The answer is easy: The US does not borrow its ow currency and does not need to. Instead it offers a secure facility which pays a guaranteed interest rate at zero risk. Why does it offer that? Because financial institutions want that and they are regulated to hold such assets.
@davidcann8788
So, financial institutions have no choice in the matter and have to hold US debt?
In essence, there's partly a market only because banks mandated to hold them?
So MMT is a perfect system and solves all our financial problems?
Crazy insane Bernstein doesn’t surprise me working for President Jackass
Mike talks about being long the markets and buying the dips. But where do you get the cash to keep going long, sureley have to selll sometime to get the dry powder to buy the dips. Personally my default is 100% long the market, no more (no leverage) no less. To take advantage of these dips though I do have to sell at the right time, effectively shorting the market.
I learned economics as an adult from MMT-friendly economists. In my experience, the basic concepts are relatively simple. I imagine it's very confusing if you took Economics 101.
My favourite story is Warren Mosler explaining how a currency works using the example of the African Hut Tax, a story of colonial British creating a tea industry out of thin air in Kenya. They created a currency. A tax to create demand for the currency. A tax penalty. And unemployment!
'You all have to pay a hut tax. You have to work for us on the tea plantation to get our special money to pay the tax. If you don't, we'll burn down your house.'
(Presumably the subsistence farmers were treated like slaves and paid only enough to pay the hut tax. Not a model of an economy, just an example of the basic mechanics of a currency startup)
i have seen it and its fing funny
Classic example of the “Peter Principle”. Promote someone til they reach their level of incompetence.
Thanks mike
Wow, I actually thought Bernstein understood the monetary system before I heard him stumble and bumble through his response to the simple question. He must not be able to bring himself to say the gov't does not borrow money. He could have explained the misnomer.
It does borrow money – in the sense that it issues tokens in exchange for other tokens and promises to give the original tokens back at some point in the future. It doesn't need to borrow, but since it is a useful way of channelling additional free tokens to certain favoured people it continues to do so.
Its easy when you let a professional manage your equity for a few years to let you monitor and understand the rewards of emotional detachment.
The vid is priceless. Mike
So sad. I can not believe this is essentially the board of directors for our country. Absolutely nuts.