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This is the view from MMT perspective. I highly recommend looking into it, e.g. this lecture is great: https://www.youtube.com/watch?v=Q1SMjeuyF-Y https://www.y
by baursak 9y ago
This is the view from MMT perspective. I highly recommend looking into it, e.g. this lecture is great: https://www.youtube.com/watch?v=Q1SMjeuyF-Y https://www.youtube.com/watch?v=Q1SMjeuyF-Y
Treatment of debt is at around minute 54.
- logfromblammo 9y agoAny fan of "modern monetary theory" should look at entities like the Soviet Union, Zimbabwe, and Venezuela. No government has an infinite capacity to print fiat money, and a theory based upon that as a premise is, in my opinion, complete bunkum. I highly recommend exploring other macroeconomic theories. It is depressing how many of them amount to tricking productive firms and the labor workforce into believing a big lie of some sort, that allows some other more savvy entity to siphon value away from them. Consumption is paid for by production. Imports are paid for by exports. Debt now is paid for by production later. Savings now is paid for by production earlier. In theory, you can build an economy upon debts and repayment of prior obligations, but in practice, human beings are great at lying and making false promises.
- baursak 9y agoLooks like you're not very familiar with it. Again, I highly recommend taking a close look and see if any of your questions are already answered/addressed.
- logfromblammo 9y agoIt's your responsibility to support your own claim. It won't do me any good to read more of your favored economic theory if I disagree with its fundamental premises. And I do disagree with them. Therefore, I will also disagree with all conclusions logically derived from them.