Thursday, January 31, 2013

Yves Smith and Randy Wray "review" MMT Movie



Naked Capitalism
Modern Monetary Theory, Bears 2.0 Style
Yves Smith

Economonitor — Great Leap Forward


14 comments:

Matt Franko said...

I disagree with Yves assessment of this Trixie produced and directed movie ... I think a multi-pronged approach is called for....

Besides many are just too stupid to get it via the 'Socratic' approach and never will.... At least Trixie's movie may appeal to young people who are suspicious of the mainstream and seeking the truth... Rsp

paul said...

" I think a multi-pronged approach is called for.... " - Matt

Agreed...one size does not fit all.

Most people probably don't know one way or the other so they defer to the "experts".

It's important that alternatives are out there when things go south.

netbacker said...

Wonder who that commenter is on Yves' site that goes by the name "from Mexico". Excellent responses.
Thank you whoever you are

SchittReport said...

sorry guys but the clip is awful - in content and presentation. in any case the key is not to convince some internet or real life peasants - why is everyone targeting this audience? - the key is to convince those with the authority, power and resources to change the monetary system - and in that regard, you not only need a well structured and concise presentation (PP, visual or otherwise) - you need to outline the economic impact of the changes and in particular, with respect to the key decision makers and stakeholders.

why would the decision makers in the govt, at the fed, banks et al. have any desire for change if you can't outline what's in it for everyone after MMT policies are implemented?

we haven't noticed anyone who has thought this part through thoroughly - we'd be happy if someone can point to any existing literature, presentations etc.

otherwise, that's our take on what is required for MMT to be successful.

SchittReport said...

as an addendum to the above post, it might be worthwhile to add that MMT is probably not being "marketed" in an effective way

people are (mistakenly) looking at MMT as an ideology or economic school of thought. we believe that this is an ineffective way to communicate MMT. people should be looking at MMT as an analytical framework & set of tools which are employed to formulate effective policy solutions

this is the difference between $25k research funding for an academic project and $25m for a strategic review and transformation from mck, bcg, bain etc.

people at the top will pay the US$25m if they think the company and themselves will come out smelling like roses after the review & transformation process. if they are just looking for academic ideas, they will send their research manager & his lackeys out and they will pay US$25k or US$25 for some crummy research paper

paul said...

"otherwise, that's our take on what is required for MMT to be successful."

MMT is the definition of the economy...every time a transaction takes place MMT is in action...MMT always "succeeds" because arithmetic always succeeds.

TPTB seem to think they can change the outcome of 2+2=4 through religious dogma that they perceive as the truth.

We aren't going to convince many of the existing people in power their religion is false.

We need to replace them with people that aren't religious zealots, or at least drown out their false message.

geerussell said...

Wonder who that commenter is on Yves' site that goes by the name "from Mexico". Excellent responses.
Thank you whoever you are


netbacker,

You aren't kidding. Mexico is really hammering away effectively with the analytical/moral/empirical truth pattern.

JK said...

SchittReport,

I think you make a good point. Although I do think it's worthwhile to spread the word in any and all forms (I write facebook posts for my friends to read and comment on), the majority of the focus should be on the disseminators of information.

In my mind, this means the liberal media establishment. Chris Hayes, Rachel Maddow, etc. It is those people that have the most effective power to cause MMT to go viral. Even Paul Krugman is a small fish in comparison.

I think it's fair to say the conservative media establishment will have no interest in promoting MMT.

SchittReport said...

> paul, seriously?!

> jk, liberal media may be a tool for dissemination of information & marketing of the concept to the masses but that's about it. they have limited or negligible impact on policy decision making. this is 1 point on where we disagree with tom - occupy has been around for 2 years and has made a lot of noise in the media - yet it has had close to 0 impact on policy decision making - there might be some lip service if things go south and turn really ugly but that's about it

the reality is, system change is not going to occur just because there are a bunch of "peasants" grumbling about the existing monetary system. change to the monetary system has to be driven from the top, by the gov't, fed and the key stakeholders e.g. banks have to move in tandem

the only credible way to do that is to convince them with a "business case"



paul said...

"change to the monetary system has to be driven from the top, by the gov't, fed and the key stakeholders e.g. banks have to move in tandem"

This will be the last group on the planet to be the agents of change. If you are waiting for that to happen I hope you are very young.

They won't change until they are made to change.

How? Good question. Got any ideas?

SchittReport said...

> paul

we are reasonably young. but we have experience working with almost all of the fortune 500 companies at one time or another, at ceo level

in some instances, the initiatives require working with regulatory bodies or government agencies - internationally

with regards to change (or resistance to change), first hand contact & empirical evidence suggest otherwise. banks engaging in predatory "raze the ground" practices is a recent phenomenon. 10, 20, 30 years ago, they prized customers as golden eggs and recognized the importance of having a stable ecosystem so that they themselves would do well

SchittReport said...

in any case, how are you going to make them?

with a vote or with a gun?

paul said...

"in any case, how are you going to make them?

with a vote or with a gun?"


Those don't look like options at this point.

I hope you succeed....someone needs to.

SchittReport said...

thanks paul

we will continue to try and make an impact - on our terms

let's hope for the sake of human advancement, someone succeeds