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March 30, 2019, 06:49:05 PM |
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Hi everyone,
First of all, I wanted to post this in the 'Serious Discussion' page but for some reason the 'new post' button doesn't show up there so I'll post it here.
Secondly, I know I want make myself popular bringing up MMT here but bear with me.
I have been reading a lot about economics recently, and more specifically the MMT people as well as stuff from Steve Keen, who has a lot of overlap with some MMT ideas. Now, I don't claim to understand the finer details the theory, but I do think I have a good understanding of their their main points.
More specifically, their point that the US government creates USD by spending it into existence and that the real problem is not if the government can afford things but rather if the economy has the spare productive capacity to absorb the money government spends to prevent inflation from getting out of control.
It is way more nuanced than that of course, but I do think they have a valid point here. Even Austrians must admit that federal tax dollars don't actually 'fund' anything and that the government creates money out of thin air by spending it.
Now I want to understand the opposite view as well, more specifically the Austrian/gold standard point of view. Can anyone recommend some interesting texts or YT videos for beginners/intermediates? More specifically I'm interested to learn why they think that a monetary system that has a final supply of money could ever work.
Honestly I don't understand how an economy can work without a small amount of inflation (even though that has downsides as well). Because of what I've learned from MMT, I don't worry about hyperinflation happening in the West so much anymore and I definitely don't buy the idea of new gold/bitcoin standard as a basis for the economy.
I still own bitcoin, and I'll probably buy more, but MMT has impacted my view of it to be honest. But, I am open to educate myself about the opposite view so here I am.
Thank you.
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