An MMT site bringing you dogma-free economics without the pleadings of self interest
Scott never replies once it starts getting good :(. I am sure he is way too busy though. Best to leave em with suspense ;).
didn't want to get into that particular debate, but there was a misrepresentation that many have been making of my post that I wanted to set straight.
Glasner: "the demand for and the supply of government currency is what determines the price level."As monopoly supplier of the govt currency, the govt can set the price wherever it wants, no?
Geoff -Theoretically yes, practically no.If the government announced tomorrow that it would henceforth never pay any more for anything (including labor) than the prices prevailing on April 13, 2012, you would ulitimately have no inflation. But what would that do to the economy, not to mention the Governement's ability to function, in the meantime?
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