This amusing video clip is making the rounds on Twitter. It’s worth a look and a laugh.
Jared Bernstein was asked about Modern Monetary Theory (MMT).
MMT says government is different. It owes the money to itself and the debt can be canceled at will. In MMT theory, a benevolent government would spend the money wisely, cancel all the debt or pay interest to itself, and everyone will essentially live happily ever after.
The notion is really amusing. But it was more amusing watching Bernstein try to address a question on it.
If you are looking for some recommended reading on economic theory, I can help. Please see Debunking MMT, Keynesianism, Monetarism: Reader asks “What theories do you believe?” Mish Reading List
Subscribe to MishTalk Email Alerts.
Subscribers get an email alert of each post as they happen. Read the ones
you like and you can unsubscribe at any time.