Austerity’s Two Parents — Peter May

This was an incisive post from B. Gray, which I thought deserved much more attention:

It follows:

Austerity has two parents: greed and fear, both of which are powerful motivators among the wealthy elites and the politicians that do their bidding....

Short.

Elites fear if the public understood MMT and the power of the government purse, it would lead to anarchy in the allocation of real resources, which would lead to a reduction in the elites share of resources, as well as their influence in the political process.…

I don't think elites fear anarchy in allocation. Rather, what elites fear is redistribution of resources more equitably through public policy than market provision.This policy would be empowered by a correct understanding of the money system in a monetary production economy in which government is a major factor economically and financially.

So MMT must be demonized.

Progressive Pulse

Austerity’s Two Parents
Peter May