Friday, June 28, 2019

Will Modern Monetary Theory Go Mainstream? — Eric Winograd

Progress. The author admits that MMT makes sense economically and financially. However, Eric Winograd hopes it won't go mainstream based on expanding the size and role of government. So now it is ideology rather than theory or empirics.
Will Modern Monetary Theory Go Mainstream?
Eric Winograd


Kaivey said...

Less big government ruled by the aristocracy, but more democratic government responsive to the majority. Our government!

Andrew Anderson said...

"Our government"?

What current MMT proposals offer:

1) To increase privileges for the banks to near impunity from market discipline. This will make an unjust system more stable - in the short run.

2) To supplement wage-slavery to the private sector with wage-slavery to government.

What MMT could be used for instead:

1) To reduce banks to 100% private businesses with 100% voluntary depositors.

2) To finance a huge one-off distribution of fiat to all citizens equally in conjunction with the progressive abolition of deposit insurance.

3) To finance an on-going Citizen's Dividend as the exclusive means of new fiat creation beyond deficit spending.

4) To eliminate or at least reduce the trade deficits of monetary sovereigns with negative yields on their inherently risk-free debt.

5) To establish the precedence of further non-monetary asset redistribution such as land reform.