The International Monetary Fund wants policy makers to avoid repeating the Depression-era mistake of ratcheting back budget deficits. Instead, it’s urging them to ramp up fiscal stimulus when the coronavirus contagion starts to abate.…
This doesn’t sound all that different from the prescription of Modern Monetary Theory proponents -– a heterodox economic school that contends countries such as the U.S. can run bigger budget shortfalls without worrying about going broke because they print their own money....Yahoo Finance
IMF Urges Post-Pandemic Stimulus to Avoid Depression Mistake
Rich Miller, Bloomberg
Actually give the large amounts of base money that central banks are spewing out, the resulting increase in "Private Sector Net Financial Assets" (to use MMT parlance) could well mean the problem will be EXCESS demand, not deficient demand.
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