Trump to set interest rates himself under secret presidential plan

Trump getting ready to go to war with the Democrat Monetarist morons who currently run the Fed... He probably wants rates back at zero like Obama had for 8 years… 

This would be a catastrophe if it ever happened.

It’s being reported by the WSJ so it’s legit.

If Trump lowered rates into an inflationary crisis it would create a lot of pain. Especially for the middle class. pic.twitter.com/FTLfEQ1Qmu

— QE Infinity (@StealthQE4) April 27, 2024

Japan

 

Shots fired:

Japan has always been a favorite talking point for the #MMT crowd, who claim Japan's huge debt load is totally fine. It isn't. Japan is in a currency crisis because its debt forces the BoJ to keep interest rates pinned. A huge warning sign for debt aficionados in the Euro zone... pic.twitter.com/mnO6RUQgnq

— Robin Brooks (@robin_j_brooks) April 28, 2024

Accounting 101

 

So what now we have Art Degree MMT Economics people teaching rudimentary Finance and Accounting Science 101 like this is some big revelation or something?  Big deal … 🤔

assets___________BANK________liabilities
+ reserves + bank deposits

What happened? 🧐

— Dirk Ehnts (@DEhnts) April 15, 2024

JPMorgan says high interest rates are driving inflation higher

 

But these JPM people are not winning the Art Degree argument though:

JUST IN: 🇺🇸 JPMorgan says high interest rates are driving inflation higher - Bloomberg pic.twitter.com/ui89mAh6RG

— Radar🚨 (@RadarHits) April 10, 2024

This guy is winning the argument:

.@lhsummers, former US Treasury Secretary and Wall Street Week contributor, says he's not surprised inflation rose again in March, but he says an interest rate cut in June by the Federal Reserve would be dangerous https://t.co/VVbO71W83N pic.twitter.com/enjnKsEm5Z

— Bloomberg TV (@BloombergTV) April 10, 2024

Latest European Union rules provide no serious reform or increased capacity to meet the actual challenges ahead — Bill Mitchell

It’s Wednesday and we have discussion on a few topics today. The first relates to the new agreement between the European Parliament and the European Council that was announced on February 10, 2024, which purports to reform the fiscal rules structure that has crippled the Member States of the EMU since inception. The reality is that the changes are minimal and actually will make matters worse. I keep reading progressives who claim the EU fiscal rules are no longer operative. Well, sorry, they are and the temporary respite during the pandemic is now over and the new agreement makes that very clear. I also express disappointment that high profile progressives continue to misrepresent Modern Monetary Theory (MMT) as they advance their own agenda, which effectively provides support to the sound finance narratives. Then some updated health data which continues to support my perspective on Covid. And then some anti-fascist music. What’s not to like.

William Mitchell — Modern Monetary Theory
Latest European Union rules provide no serious reform or increased capacity to meet the actual challenges ahead
Bill Mitchell | Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at University of Newcastle, NSW, Australia

What is responsible government spending? — Guest post by Scott Baum

Today, I am fully engaged in work commitments and so we have a guest blogger in the guise of Professor Scott Baum from Griffith University, who has been one of my regular research colleagues over a long period of time. He indicated that he would like to contribute occasionally and that provides some diversity of voice although the focus remains on advancing our understanding of Modern Monetary Theory (MMT) and its applications. Today he is going to talk about what responsible government spending should look like. Anyway, over to Scott …

William Mitchell — Modern Monetary Theory

What is responsible government spending?

Guest post by Scott Baum, Professor at Griffith University, Queensland

Death of empires: History tells us what will follow the collapse of US hegemony — Henry Johnston

The turn away from expansion, production and trade toward lending and speculation has precipitated decline for centuries

In the vein of Michael Hudson on the transition from industrial capitalism to financial capitalism, and the implications of this transition systemically. The article is a summary of the work of Giovanni Arrighi, one of a number of economists, economic sociologist and economic anthropologists that have explored the phenomenon of capitalism and its development in terms of the world system.

RT — Question More (Russian state-sponsored media)
Death of empires: History tells us what will follow the collapse of US hegemony

Henry Johnston, an RT editor who worked for over a decade in finance and is a FINRA Series 7 and Series 24 license holder

Millions of simulations show that media companies have too much time on their hands — Bill Mitchell

It’s Wednesday and I discuss a number of topics today. First, the ‘million simulations’ that Bloomberg apparently think show that there is an impending US bond market rout. Second, the way in which neoliberal-inspired legislation ensures the private energy providers can gouge prices and make huge profits in the face of a state-owned alternative. Third, my latest podcast with Real Progressives. Fourth, the crocodile tears from the Australian government concerning Gaza when they are effective supplying the means to kill our own citizens and tens of thousands of others. Finally, to calm down after all that some great jazz.…

Bloomberg published a ridiculous article yesterday (April 2) – A Million Simulations, One Verdict for US Economy: Debt Danger Ahead – which I thought might have been a delayed April Fool’s joke.…

William Mitchell — Modern Monetary Theory
Millions of simulations show that media companies have too much time on their hands
Bill Mitchell | Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at University of Newcastle, NSW, Australia

In Defence Of Discrete Time Models — Brian Romanchuk

Not MMT per se but it has to do with economic modeling that is pertinent to MMT's stock-flow modeling. 

When looking at Steve Keens's claim about continuous and discrete yesterday, it seemed to me to be a bit off given that economic data is discrete despite the fact that it is reported in terms of flows that are assumed continuous. Brian explains the details of the modeling math clearly and briefly without getting overly wonkish. 

Bond Economics
In Defence Of Discrete Time Models
Brian Romanchuk

Economic Democracy with Pavlina Tcherneva — Scott Ferguson and William Saas interview Pavlina Tcherneva

Podcast and transcript.

Money on the Left — MR Online
Economic Democracy with Pavlina Tcherneva
Scott Ferguson and William Saas  interview Pavlina Tcherneva