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Falling interest rates for 40 years wasn’t the problem. If anything there has been less demand for money which is why rates fall. Things are far less capital in

Falling interest rates for 40 years wasn’t the problem. If anything there has been less demand for money which is why rates fall. Things are far less capital intensive than they used to be in many cases. Falling interest rates have been great for people as more people own homes than at any other point in history. But printing trillions more last year was a flaw. At least got physical proof that MMT doesn’t work.

epistasis 4y ago
MMT is the idea that inflation is the result of government spending, rather than "bankruptcy" or people being unwilling to buy US government bonds. And in particular that limited productive capacity will cause inflation. So if anything the past years show that MMT was exactly right all along.
- nemo44x 4y ago
  Nah just look at Sri Lanka. Another exhibit of MMT and how it destroys economies.
  - epistasis 4y ago
    How does Sri Lanka correspond to MMT more than what the proponents of MMT say? Can you be a bit more specific? Edit: for example, Sri Lanka's outcomes are exactly what have been predicted by MMTers, and Sri Lanka took exactly the opposite of what MMTers have been recommending forever: https://twitter.com/fadhelkaboub/status/1516630826896744451?s=21&t=hI5LXwn36XAFNch5G5_LYw https://twitter.com/fadhelkaboub/status/1516630826896744451?... I don't know what it is about MMT but it always seems like people are intentionally not listening to what people say, and then inserting other words in their mouth. Marxists like Henwood are particularly prone to doing that, for example. Critiques of MMT seem to be based on intentional misunderstanding and misrepresentation.
yvan-eht-nioj 4y ago
"...more people own homes than at any other point in history..." I'm not sure about elsewhere, but rates of home ownership in Australia have declined since the 1980's [1], neatly coinciding with a decline of interest rates [2] and a rise in house prices as a proportion of income [3]. [1]https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BriefingBook46p/HomeOwnership https://www.aph.gov.au/About_Parliament/Parliamentary_Depart... [2]https://www.rba.gov.au/statistics/historical-data.html https://www.rba.gov.au/statistics/historical-data.html [3]https://www.aph.gov.au/about_parliament/parliamentary_departments/parliamentary_library/pubs/briefingbook45p/housingaffordability https://www.aph.gov.au/about_parliament/parliamentary_depart...
- nemo44x 4y ago
  Look at total numbers.
  - deleted 4y ago
    [deleted]
  - llampx 4y ago
    Care to elaborate why absolute values are better than rates here?
    - nemo44x 4y ago
      Because western countries import a lot of people that rely on urban rentals. Also younger people tend to favor starting a family later in life as they develop their careers (and are more interested in urban life) meaning apartment life is preferred.
HWR_14 4y ago
>more people own homes than at any other point in history. Not in the US, and this article is about Americans.
- nemo44x 4y ago
  As a total amount, yes. Percentages aren’t relevant especially as you consider the high rates of immigration and that many younger people make the lifestyle choice to rent in urban centers until they’re older and want a home in the suburbs.
  - HWR_14 4y ago
    I mean, if you're not using percentages than it's all meaningless. More people own homes. More people rent. There are more Republicans. There are more Democrats. Seriously, you seem to think there's something profound about "total population numbers go up, all the numbers go up"?

epistasis 4y ago

MMT is the idea that inflation is the result of government spending, rather than "bankruptcy" or people being unwilling to buy US government bonds. And in particular that limited productive capacity will cause inflation. So if anything the past years show that MMT was exactly right all along.

nemo44x 4y ago
Nah just look at Sri Lanka. Another exhibit of MMT and how it destroys economies.
- epistasis 4y ago
  How does Sri Lanka correspond to MMT more than what the proponents of MMT say? Can you be a bit more specific? Edit: for example, Sri Lanka's outcomes are exactly what have been predicted by MMTers, and Sri Lanka took exactly the opposite of what MMTers have been recommending forever: https://twitter.com/fadhelkaboub/status/1516630826896744451?s=21&t=hI5LXwn36XAFNch5G5_LYw https://twitter.com/fadhelkaboub/status/1516630826896744451?... I don't know what it is about MMT but it always seems like people are intentionally not listening to what people say, and then inserting other words in their mouth. Marxists like Henwood are particularly prone to doing that, for example. Critiques of MMT seem to be based on intentional misunderstanding and misrepresentation.

yvan-eht-nioj 4y ago

"...more people own homes than at any other point in history..." I'm not sure about elsewhere, but rates of home ownership in Australia have declined since the 1980's [1], neatly coinciding with a decline of interest rates [2] and a rise in house prices as a proportion of income [3]. [1]https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BriefingBook46p/HomeOwnership https://www.aph.gov.au/About_Parliament/Parliamentary_Depart... [2]https://www.rba.gov.au/statistics/historical-data.html https://www.rba.gov.au/statistics/historical-data.html [3]https://www.aph.gov.au/about_parliament/parliamentary_departments/parliamentary_library/pubs/briefingbook45p/housingaffordability https://www.aph.gov.au/about_parliament/parliamentary_depart...

nemo44x 4y ago
Look at total numbers.
- deleted 4y ago
  [deleted]
- llampx 4y ago
  Care to elaborate why absolute values are better than rates here?
  - nemo44x 4y ago
    Because western countries import a lot of people that rely on urban rentals. Also younger people tend to favor starting a family later in life as they develop their careers (and are more interested in urban life) meaning apartment life is preferred.

HWR_14 4y ago

>more people own homes than at any other point in history. Not in the US, and this article is about Americans.

nemo44x 4y ago
As a total amount, yes. Percentages aren’t relevant especially as you consider the high rates of immigration and that many younger people make the lifestyle choice to rent in urban centers until they’re older and want a home in the suburbs.
- HWR_14 4y ago
  I mean, if you're not using percentages than it's all meaningless. More people own homes. More people rent. There are more Republicans. There are more Democrats. Seriously, you seem to think there's something profound about "total population numbers go up, all the numbers go up"?