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Modern monetary theory or modern money theory (MMT) is a heterodox [1] macroeconomic theory that describes currency as a public monopoly and unemployment as evidence that a currency monopolist is overly restricting the supply of the financial assets needed to pay taxes and satisfy savings desires. [2]
Stephanie A Kelton (née Bell; born October 10, 1969) is an American heterodox economist and academic, and a leading proponent of modern monetary theory. [1] She served as an advisor to Bernie Sanders's 2016 presidential campaign and worked for the Senate Budget Committee under his chairmanship.
The author, only 23 years old at the time, started with the history of Italian coinage, going back to the Greeks and Romans. Discarding the contemporary view of the origin of money through centrally planned contracts, Galiani proposes that money tends to arise spontaneously, through the need for trade, anticipating the Austrian school of economics by well over a century.
Money and the Economy: Issues in Monetary Analysis, Cambridge. Description and chapter previews, pp. ix–x. Cagan, Phillip, 1965. Determinants and Effects of Changes in the Stock of Money, 1875–1960. NBER. Foreword by Milton Friedman, pp. xiii–xxviii. Table of Contents. Friedman, Milton, ed. 1956. Studies in the Quantity Theory of Money ...
Modern macroeconomics can be said to have begun with Keynes and the publication of his book The General Theory of Employment, Interest and Money in 1936. [22] Keynes expanded on the concept of liquidity preferences and built a general theory of how the economy worked.
The Biden-Harris administration began their term assuming they could “run the economy hot” while also avoiding inflation.
His book Eurozone Dystopia: Groupthink and Denial on a Grand Scale (May 2015), provides "a critical history and analysis from the perspective of Modern Monetary Theory of the European economic crisis that started in 2009."
Monetary economics is the branch of economics that studies the different theories of money: it provides a framework for analyzing money and considers its functions ( as medium of exchange, store of value, and unit of account), and it considers how money can gain acceptance purely because of its convenience as a public good. [1]
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