4 ms·
MMT is simultaneously a) a "heterodox" theory that mainstream economists don't consider entirely legitimate, and b) precisely how central banks in the US and
by flurben 11y ago
MMT is simultaneously
a)
a "heterodox" theory that mainstream economists don't consider entirely legitimate, and
b)
precisely how central banks in the US and UK describe their own routine monetary operations.
I still struggle to understand how and why these statements can both be true.
- RobertoG 11y agoYes. I also find that funny. And MMT has another interesting property: when you take the time to learn a little, it makes a lot of sense. They have been always saying how money is really created, now the Bank of England confirm it, but we should keep believing the text books from the gold standard era I suppose.
- bubbleRefuge 11y agoIts because unfortunately politicians and the financial press cannot touch it. Its too easy for the public to draw comparisons between household budget constraints and currency issuer budget constraints (which need not exist). FUD sells.