The previous post discussed a short paper by Paul Krugman on the “invisible bond vigilantes” and noted convergence, on the issue, to the position of Modern Monetary Theorists. Briefly, the bond vigilantes, in the view of both Krugman and Modern…
Paul Krugman, in “The Simple Analytics of Invisible Bond Vigilantes (Wonkish)”, has lent his support to the view, emphasized by Modern Monetary Theorists, that bond vigilantes cannot impede a sovereign currency issuer. Krugman has made this important observation in the…
In a recent post, Tom Hickey (courtesy of Clonal Antibody) drew attention to a talk from a few years ago by Bernard Lietaer. The talk sheds light on what an uphill battle it is to take on entrenched, deeply flawed…
Marxists, in contrast to reformers, call for an end to the capitalist system rather than a preservation of it. This can predispose them to dismissing Modern Monetary Theory (MMT) on the supposed grounds that the theory is in some way…
What follows is an introduction, in very broad brush strokes, to some basic aspects of Marx’s approach to economic analysis. It is on a similar introductory level to an earlier treatment of classical political economy. The present post serves both…
In an economic slump, it is misguided to cut public expenditure on services such as libraries, education, health care, and so on, as well as to remove welfare protections for the most vulnerable. In a modern monetary system – one…
The first part of this short two-part series addressed an article by John Kay in the Financial Times in which he characterizes Modern Monetary Theory and the chartal explanation of state money on which it is partially based as a…
There is an article in the Financial Times by John Kay who in attempting to disprove the chartalist explanation of state money by example gives an illustration fully consistent with it. The article is entitled “Money, like hat-wearing, depends on…
Modern Monetary Theory (MMT) is sometimes perceived as left wing or, in some way, specifically suited to the left. MMT in itself, however, is neither left nor right wing. It is basically silent on political matters. The only sense in…
