From Bloomberg to Positive Money nobody seems really to get it right

Bloomberg has offered  another piece on Modern Monetary Theory (MMT). This one is more complimentary and quite reasonably compares MMT with the seventeenth century scrip issue of Massachusetts, which they claim rather dubiously I’d have thought, to be the “first fiat currency in the Western World”. Personally I’d have thought that honour should go to… Read more

“Narrow, rigid, unimaginative and sly.” And an armistice in return for continuing conflict. Is that our PM?

There is a devastating opinion piece in the FT from Robert Shrimsley: Theresa May is: Narrow, rigid, unimaginative, sly, secretive and wholly lacking in the political skills necessary to win over voters or build alliances, rarely can a leader have looked less suited to the task before them. This is the consensus view of the… Read more

Modern Monetary Theory is logically inconsistent with a Job Guarantee

There is an interesting piece (which I was alerted to by Graham) from the Gower Initiative for Modern Money Studies about Universal Basic Income (UBI). The Gower Initiative, being ‘Modern Monetary Theory’ (MMT) advocates, believe of course, in the advantages of the Job Guarantee (JG), but whilst, whichever your preference, there is much to agree… Read more

Don’t build a ‘new economics’ without properly understanding the old

James Meadway, economic adviser to Shadow Chancellor John McDonnell, has written in the ourEconomy section of Open Democracy on the necessity for ‘building a new economics’: Some parts [of new economics] are half-remembered, and then placed together in peculiar (and often largely useless) new ways, like “Modern Monetary Theory” – a reconstruction of post-war Keynesianism… Read more

‘Diet’ Universal Basic Income

Those who follow these things will know that Labour has spoken approvingly of a New Economics Foundation suggested ‘Basic Income’ for everyone earning less than £125,000 a year (though some, including me, think that any sort of means test is not actually desirable – what is desirable is proper taxes on UNEARNED income (which was… Read more