3 ms·

MMT literally says why not

• anm89 6y ago
  Yes, and this is why a majority of people knowledgeable about economics look down on mmt. Here's one reason you cant. The whole argument around mmt is based on our reserve currency status. Ie if you are Zimbabwe mmt doesn't work. But if you were to increase debt buy that much (ie increase money supply drastically) that's essentially economic warfare on our trading partners who rely on dollars. So the more we print the less attractive the dollar is as a reserve currency. But remember that first part? Inflation will kick in more rapidly the further we push people toward adopting other trade currencies and dollar demand drops. NOBODY who studies economic policy, not even any MMTer I've heard of advocates for a 1000% ratio because they understand it would break the international trade system. They simply think we can print a lot further than we have