MMT Explainers

A balanced deficit

3 weeks ago
The word "deficit" sounds bad. At the individual level, it is - consistently spending more than you earn means spiraling debt, misery and likely a pretty shit outlook. But a government that issues its own currency isn't like a household, so does a deficit matter?

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Bank loans vs Government spending

4 weeks ago
In a previous post we saw that governments can create money without borrowing or taxing first. But they're not the only money creators - banks do it too, just in a fundamentally different way.

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The Borrowers

4 weeks ago
The Goverment doesn't need to borrow in order to spend. So what is that thing everyone calls borrowing then?

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The myth of taxpayers money

1 month ago
Where does it come from, where does it go? Where does it come from, taxpayers dough.

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Your country is not your home

1 month ago
There's one particularly popular and potent myth about the economy which gets repeated by journalists, politicians, even some economists, again and again. It's the idea that the government is basically like a big household. It has money coming in and money going out, and it needs to balance the books, not get into too much debt, and not overspend.

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The IQ economy

1 month ago
Paving the way for a potential series of MMT explainers I want to first describe why GDP is a terrible way to measure how well an economy is doing

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