This week the room debated Full Funding Rule myths, money creation flows, and whether the state can be democratic. Elections, banking, currency, political economy. The door is open. Come and join us!
@mmt-action.bsky.social
@mmt-action.bsky.socialThis week the room debated Full Funding Rule myths, money creation flows, and whether the state can be democratic. Elections, banking, currency, political economy. The door is open. Come and join us!
@mmt-action.bsky.socialThey'll say we can't afford a job guarantee. What they mean is: we choose not to spend on jobs. Currency issuers don't have a money problem; they have a political will problem.
@mmt-action.bsky.socialLoanable-funds theory says banks lend out savings. They don't. Banks create new deposits when they lend, constrained by capital and credit risk, not the size of some fixed savings pool. Investment doesn't wait for savings to appear.
@mmt-action.bsky.social"We can't afford it" is always about distribution, never about money. The government issues the currency. The real question is: do we have the nurses, the food, the insulation? We do. So the question becomes political: who gets it?