“We are fast approaching the stage of the ultimate inversion: the stage where the government is free to do anything it pleases, while the citizens may act only by permission…” Authored by Leesa Donner via Liberty Nation, The American people have a love-hate relationship with their government. This is as it should be, primarily because […] … Continue reading Easter And Why Government Is Not Our God | Zero Hedge — Truth2Freedom’s Blog
To pay for this massive expansion in the burden of government spending, some advocates have embraced “Modern Monetary Theory,” which basically assumes the Federal Reserve can finance new boondoggles by printing money.
I debated this issue yesterday on CNBC. Here’s a clip from that interview.
Wow, this Modern Monetary Theory (MMT) reminds me of the old joke about “I can’t be out of money. I still have checks in my checkbook.”
I don’t know how far Ms. Kelton would go with this approach. I know from previous encounters that she’s a genuine Keynesian and thus willing to borrow lots of money to finance a larger public sector. But her answer at 2:45 of the interview also suggests she’s okay with using the Federal Reserve to finance bigger government.
In either case…
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