Thanks AJ. Firstly, I didn't say the "US is inflating themselves out of their perceived debt crisis" (I said Trump would like to) and I certainly didn't say the US's debt crisis is a "perceived" one. They have a very real debt crisis.
I have no doubt Ms Kelton is a clever lady, but for me, MMT is a kind of unicorned apple pie nirvana which has been developed to conquer economic problems that have been caused by "living beyond one's means".... based on the Govt being able to print money at will.
As she says, it is nothing more than a double entry book system... our deficits are covered by someone else's surpluses. Well, what happens when those that grow relative to their productivity and who are producing the surpluses lose confidence in being paid back? What happens when they say we are going to stop covering your excesses and we now want to be paid?
At the end of the day - who is gonna pay for those deficits AJ?
