An Employer of Last Resort, also known as a job guarantee (JG), is exactly what it sounds like. It is a promise by the government through either private partners or government institutions to provide a job to any worker who is able and willing to work but cannot find suitable (or any) employment in the private sector.
In December of 2014, well before his decision to run for President, Bernie Sanders appointed Stephanie Kelton to be the Chief Economist for the Democrats on the Senate Budget Committee. Dr. Kelton is a Research scholar at the Levy Economics Institute of Bard College, the founder and Editor in Chief of one of the world’s most prescient economics blogs New Economic Perspectives and an Associate Professor at the University of Kansas City Missouri. She is also one of the leading proponents of a federally funded ELR.
As one of the world’s most prominent experts in the field of Modern Monetary Theory (MMT) she is fully aware of the policy options available to a sovereign country which issues its own free floating currency. That is a country like the United States which issues money in its own unit of account- the Dollar- and does not tie the value of the currency to any commodities like gold or to foreign currencies through a peg (like the Chinese do with the Renminbi).…Counterpunch
Employer of Last Resort: a Completely American Solution to Unemployment
David L. Glotzer