Lord Keynes — Larry White on the Origins of Coined Money: A Critique

The latest iteration in the controversy over theory of money, money creation, and historical origins of money use.

Social Democracy For The 21St Century: A Post Keynesian Perspective
Larry White on the Origins of Coined Money: A Critique
Lord Keynes

Lord Keynes — The Origin of Money and Coins in Western Civilisation: The Case of Ancient Greece

Theory of money and historical evidence.

Social Democracy For The 21St Century
The Origin of Money and Coins in Western Civilisation: The Case of Ancient Greece
Lord Keynes

John Carney — A $100 Bill Is Just as 'Impossible' as a Trillion Dollar Coin

It turns out that it's not possible for the government to print a $100 bill.

At least, it's not possible if you follow the logic of Republican opponents of the $1 trillion coin....

If a trillion coin isn't possible, those bills in your wallet must be imaginary also. Feel free to send them my way if you think they can't be worth what the value the government has assigned to them.

CNBC NetNet
A $100 Bill Is Just as 'Impossible' as a Trillion Dollar Coin
John Carney | Senior Editor

John Carrney — Sell TPC(s)

[Greg] Ip's solution [in The Economist] is to have the coin sold to the public rather than deposited to the Fed....

This goes a long way to avoiding the legal problem I was discussing above. Here, the minting authority of the Treasury Secretary would be used in a way much closer to what was imagined by the authors of the law: selling coins to the public. The spending power generated by minting the coin would come from actual coin purchases, which is also what was anticipated by the law's authors. The only difference is that the revenues would be much higher than anyone expected.

I think this also gets rid of some of the weirdness problem that has always plagued the mint the coin idea. People just aren't comfortable with the idea that the Treasury can create spending power out of thin air by depositing a newly minted coin at the Fed. Here the Treasury's spending power would arise from actual revenue from the sale of a coin, just like it does when the Treasury sells a bond.

CNBC NetNet
How To Fix The Trillion Dollar Platinum Coin Idea
John Carney

A compromise worth considering. The Treasury can fund itself with coin issuance instead of paying interest on Treasury securities, which subsidizes a special interest — savers. If used past the immediate situation, it would be route to "no bonds," and only short terms T-bills.

At least people are coming to realize that this is possible and are discussing it openly.

The Economist — Platinomics

Must-read. The cat is out of the bag. TPC has done its job. The explanation is now in the mainstream. No economist or financial professional can read this and not get it. This is a really succinct and clever account that cuts to the chase. The last mile is really closing fast.

The Economist | Free Exchange
Platinomics
G. I. | Washington
(h/t y in the comments)