Sunday, September 11, 2016

Alexander Douglas and Neil Wilson At Medium on MMT and New Keynesianism


Alexander Douglas At Medium
More on Keynesianism, MMT and interest rates

Neil Wilson comments


My sense is that this has not been the New Keynesian position until very recently, if most New Keynesians even hold it now. Ii is basically saying the MMT is correct with respect to its analysis of monetary economics and functional finance, and that central bank monetary policy is designed to increase fiscal space to make room for public spending by controlling incipient inflation that fiscal injection might cause as the economy approaches capacity.

1 comment:

Ignacio said...

Trying to salvage what is left of their careers.