An economics, investment, trading and policy blog with a focus on Modern Monetary Theory (MMT). We seek the truth, avoid the mainstream and are virulently anti-neoliberalism.
"Paul asserts that a damaging confidence crisis in a liquidity trap country without large foreign debts is impossible, because if one developed the currency would depreciate generating an export surge."
Confidence is already lost when the firms have to lower prices in foreign currency terms which THEN causes the exchange rate to move....
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"Paul asserts that a damaging confidence crisis in a liquidity trap country without large foreign debts is impossible, because if one developed the currency would depreciate generating an export surge."
Confidence is already lost when the firms have to lower prices in foreign currency terms which THEN causes the exchange rate to move....
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