Randall Wray (Levy Economics Institute of Bard College), prominent Post-Keynesian economist and author of Modern Money Theory, argues that rethinking the State requires rethinking the relationship between the State and currency. His analysis starts with the observation that money is based on State power (currency sovereignty): it is an IOU (I owe you) from the State -- a liability -- implying that fiscal constraints are in fact artificially created. In this sense, the State cannot run out of money, as it creates and enforces its own IOUs. Governments could -- and should -- afford to invest more in innovation and technology development to promote the capital development of the economy, as long as the monetary and financial system are reformed to remove those artificial constraints. https://youtube/watch?v=uFDxJuzaDq4&list=PLRaPQe1WL7uz6liI-R0xG_2IIec-tQSVZ
Posted on: Tue, 04 Mar 2014 13:12:47 +0000
Trending Topics
Recently Viewed Topics
© 2015