Governments the world over are spending like crazy to try and steer their economies through the COVID-19 crisis. Whether it’s the fiscal policies of the government or the monetary policies of the central bank, it all still revolves around using money that wasn’t around a few months ago. So how much of what is happening is described by Modern Monetary Theory – and how much more could be done if we accepted that MMT is the way things should really work. And do central banks, or treasurers really understand it? Phil Dobbie asks Prof Steve Keen whether MMT can solve the
COVID-19 debt problem?
One comment on “Can MMT solve the COVID-19 debt problem?”
Phil Dobbie — please do NOT understand. I’m afraid this interview was disjointed and confusing because you “understood” far too quickly. Listen, and process Keen’s arguments quietly. It would be ok to end the conversation saying — “I’m going to have to reflect on what you’ve said because some of it still doesn’t make sense to me.” That would make for a better listening experience than allowing all these half-finished thoughts to simply hang in the air.
This was a rare opportunity — an accomplished economist like Keen just LEARNED something new and important, only two weeks before you spoke to him. That Eureka moment was pretty much lost in the noise.