Randall Wray - Modern Monetary Theory 

Dream on.

Don't forget, conservative estimates peg the loss to the Cuban economy because of the embargo at 150 billion. Cuba estimates it to be about a trillion. Their current GDP is about 100 billion, so it could have been double or ten fold it's current size had the US not strangled them.

Stifled a once more rapidly growing economy and led to the lowering of the Yen's purchasing power over the last 30 years.

I agree that the U.S. has misbehaved as you described. But even if it hadn't done that it would still be able to create and spend as much of its own currency as it wants domestically. In doing so, it does have to keep an eye on inflation because of the possibility of full employment or bottlenecks as Prof Wray outlined in his talk.

Joseph Stiglitz has advocated for Georgist policy. While not on OES, I think it's something to look into.

A land tax simultaneously raises asset prices and liabilities. How would that help?

you don't want to say "if this condition holds, inflation happens". rather, you want to say something like "the probability of inflation rests on these conditions". and, you want to build probability distributions to understand it, rather than linear models.

even keen's models were pretty much classical, unfortunately. and, this insight might be unsatisfying, but it's necessary - and you kids should clue into it now. this world isn't causal; you have to understand it using the mathematics of chance, not the mathematics of certainty.

that said, wray's conclusions will still largely stand, if you produce a proper probabilistic model of inflation - in fact, they'll stand way better than any causal model will because it will pull the rug out from under them. the right interpretation is that inflation from producing money is neither certain nor impossible but _unlikely_ - but, it means you always have to understand that there's some chance that the whole thing caves in, that sellers win a series of games and send everything tumbling via some out of control asymptote, and then you're in the weimar republic.

fwiw, there's a good argument that the weimar republic happened because the bankers in england and france wanted it to happen, and not due to some positivist rule of economics - that germany lost that game of chicken, and that maybe they never really had much of a chance of winning it.

@@jessicasfakeaccount well, I agree a lot "inflation is not something that follows a mathematical formula". Pricing anything is hard, be a stock, commodity, service, etc. But a currency, which has no intrinsic value, and indeed serves as the unit of account for everything else, pricing that is really hard. The way I see it, anything can affect inflation, anyone, to a degree. It's like the ocean, there are waves coming from everywhere, caused by winds, tidal forces, seismic shifts of the earth crust, even the wakes of boats. But it is precisely when one effect is dominant, that you have to worry about. Going back to the wave analogy, if a tsunami is caused by an earthquake, you have to be able to trace that, and then you can actually model that. But most of the random ebbs and flows, you can't really account for. The phillips curve, the way I see it, is just a degenerate economic condition in which wages and the price level become a battleground for class conflict. Even when it might be shown to be accurate, a tradeoff between unemployment and prices rising, is inherently a pathological economic condition. It makes no sense to base a normal health regime, on some pathological condition. The inability to see this kind of nuance, past the raw statistical correlations, is what is wrong with the economics profession. It's full of simplistic models and correlations. Even in the cases where simple models are both accurate and effective, which can happen when other more complicated mechanics are cancelled out with each other or simple noise, the justifications given for using the models are poor, and rarely do they admit as much, namely that simple models require very specific conditions to exist, for them to be a good respresentation of the dynamics of a complex system like the economy. I agree with you, i believe, in that I don't find Keen's models very satisfactory either, at least not as a comprehensive representation of the economy. It's more of a demonstration of how some dynamics could play out under specific conditions, than it is a truly representative model of the economy. Because it's not really a fitted model, but just a "demonstrative" model, the idea of using fitted statistical regressions, doesn't feel very important, because there is just going to be an inherent mismatch between the model and reality. Modelling the natural world is just intractable, this is a known thing from mathematics, dynamical systems, computation theory, chaos theory, etc. While certain mathematical principles, like ergodicity(which I don't fully understand to be honest), appear to be promising tools, it's just one limited part of the picture. But overall, good comments here.

And how many currencies does Argentina use? 20? 100? Or is it one?

@@Stewiehleba As many more stable as you are willing to pay with than their own sovereign currency. - US dollars, Canadian Dollars, Australian Dollars, Euros, New Zealand dollars, Yen, - anything that is relatively stable and is desired more than their own because it bypasses their government's official exchange rate policy and can be used to get more bargains with than their own currency. Go see holiday guide testimonials over the last 5 years to verity it.

Who said there was no such thing as deficit spending? I don't think you understand MMT. MMT says that deficit spending isn't a problem (so long as it doesn't cause inflation) not that it doesn't exist.

@@benharris3285 'who said?' If you watch the video, Randall Wray does.

@@thelongdarkteatimeofthesou4497 Time stamp? As I said, deficit spending is obviously real but it isn't a problem, subject to inflation constraints. Do you want to argue with that?

Nope. Time stamp... why? Just watch from end to end like I did. If the guy is trying to sell MMT, he's not doing a very good job. Maybe his views are inflated.

​@@thelongdarkteatimeofthesou4497 I watched the whole thing. I was asking you for a time stamp where he says that deficit spending doesn't exist. It does. It isn't a problem. What's your issue?

Did you watch the lecture?

Absolutely wrong.