3 ms·
This is a tragedy. In an world of fiat currency and within the Modern Monetary Theory operational paradigm, the US Federal government can meet all its financial
by bubbleRefuge 4y ago
This is a tragedy. In an world of fiat currency and within the Modern Monetary Theory operational paradigm, the US Federal government can meet all its financial obligations because it is an issuer of currency. So, in this regime, the issue should never be about financing a future. Social Security benefits should be adjusted to provide a living income to the retired. The real question, as MMT literati have stated, is will we have the goods and services (ie Production) available to meet the needs of folks retiring ?
- spicyusername 4y agoI'm not super familiar with MMT. What is the rationale MMT provides for why increasing the supply of money available to the elderly would not lead to inflation on all the goods that the elderly purchase with that money?
- bubbleRefuge 4y agoinflation should be a limiting factor instead funding being a limiting factor as it is today. So the focus should be on providing enough production ( ie supply ) in the economy to meet demand. Not necessarily worrying about balances in federal accounts which is the current narrative.