And that is what MMT actually suggests, when one do not leave out half their argument.
Their argument is that taxation can be used to take money out of the economy while government spending puts it in. Balance the two and you also control inflation.
His however hinges on the economy being largely self-sufficient, or has tight controls on imports.
Across history, the nations that has gotten into trouble over "money printing" have actually run a massive current account deficit, meaning that they are importing way more than they are exporting.
> His however hinges on the economy being largely self-sufficient, or has tight controls on imports.
So, not actually applicable to the US. (Unless you're going to argue that the US's imports aren't enough to matter. If you want to try to make that argument, go ahead, but it's clearly an additional step that's needed before you can argue that we should actually try to apply MMT.)
Their argument is that taxation can be used to take money out of the economy while government spending puts it in. Balance the two and you also control inflation.
His however hinges on the economy being largely self-sufficient, or has tight controls on imports.
Across history, the nations that has gotten into trouble over "money printing" have actually run a massive current account deficit, meaning that they are importing way more than they are exporting.