Modern Monetary Theory - MMT
What is MMT and how could it completely change your perception of life in a nation with a sovereign fiat currency? Looking for MMT resources in other languages? Try our INTERNATIONAL MMT RESOURCES page.
"If we just keep printing money, we'll devalue the dollar!"
"Printing money will cause inflation!"
"OhEmGee the National Debt!!"
We've all heard loads of rumors...now it's time to get the truth!
Use the arrows or swipe through the slides to learn more.
It's not something to implement someday, it is exactly how our money works TODAY!!
The currency issuer is not constrained to balanced budgeting in the same way as a currency user.
No matter what politicians or talking heads on TV say, when a country issues its own sovereign currency, it can never run out.
That would be like the scorekeeper in baseball running out of points! Crazy, right?
As a matter of fact, in order for us to pay taxes in the first place, the government, the CURRENCY ISSUER, has to create (or spend into existence) the money. Then, we CURRENCY USERS have to find a way to get some money to pay our taxes.
Most governments, most of the time, will run fiscal deficits. This is not a matter of concern, and is indeed a good thing, as it means most private sectors will be able to run the financial surpluses they wish to add to their net savings.
The government’s deficit is our surplus – we should be glad all that money hasn’t been taxed out of the economy!
Browse our MMT focused articles and filter them using the tabs at the top to find a specific topic.
Browse our MMT focused articles and filter them using the dropdown tab at the top to find a specific topic.
- All Articles
- Federal Reserve
- Hyperinflation
- Inflation
- Job Guarantee
- MMT 101
- MMT Academics
- MMT Rebuttal
- National Debt
- Social Security
- Taxation
- All Articles
- Federal Reserve
- Hyperinflation
- Inflation
- Job Guarantee
- MMT 101
- MMT Academics
- MMT Rebuttal
- National Debt
- Social Security
- Taxation
MMP Blog #26 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 26.
MMP Blog #24: What if Foreigners Hold Government Bonds?
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
When government deficit spends, some of the claims on government will end up in the hands of foreigners. Does this matter? Yes, according to many.
MMP Blog #24 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 24.
MMP Blog #23: The Debate About Debt Limits (US Case)
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
We should not be fooled by such self-imposed constraints. We should be able to see through them to understand that since they are imposed by government on itself, they can be removed.
MMP Blog #23 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 23.
MMP Blog #22 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 22.
MMP Blog #21 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 21.
MMP Blog #19 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 19.
MMP Blog #17: Accounting for Real Versus Financial (or Nominal)
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
I had thought the distinction between real and financial (nominal) was clear—but obviously it was not.
MMP Blog #17 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 17.
MMP Blog #15: Clearing and the Pyramid of Liabilities
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
This week we examine bank clearing and the notion of a “pyramid” of liabilities with the government’s own IOUs at the top of that pyramid.
MMP Blog #15 Responses
L. Randall Wray December 21, 2023 * New Economic Perspectives MMT Primer
Comments and responses on the Modern Money Primer Part 15.
Why we need to debunk the 'deficit myth' - BBC REEL
Government spending is increasing at an unprecedented rate to deal with the effects of the coronavirus pandemic. Many people worry this could burden future generations.
However, economist Stephanie Kelton, author of The Deficit Myth, argues that we need to rethink our attitudes towards government spending.
Could Modern Monetary Theory help us navigate our way out of this crisis – and even help build a fairer economy?
Producer: Dan John
Animation: Jacqueline Nixon
(Republished with permission from the BBC)
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