Comments by "Donovan" (@donovan4222) on "TED" channel.

@rafaelborbacs lmao bitcoin is nothing more than a beanie baby, it’s a speculative investment people try to hoard to sell it off to the next sucker who wants to buy it
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The treasury is paying that interest on its debt to individuals, businesses, pension and mutual funds, state and local governments, and foreign entities who purchase Treasury securities (bonds, notes, and bills). So this is quite literally cash that is going directly into the private sector that is (usually) spent on goods/services. Reducing the interest means less money for the private sector households/businesses (aka you)
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And what do you think the causes of that inflation were? It was disruptions to supply chains, and other factors that had absolutely nothing to do with the size of the deficit.
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You completely misunderstand, money isnt printed, it’s create digitally everytime the treasury spends money, and that’s how money is created. All of the money in your bank account came from government spending into the private sector. It’s not that “MMT will work” MMT is a description of how things already work right now. The reason we have inequality is because people use terms like “fiscal responsibility” to stop us from spending money on resources to create more quality.
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It objectively does, money is created by the treasury changing numbers in bank accounts. Thats where it comes from.
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Stephanie Kelton and others have long explained how inflation has absolutely nothing to do with “spending too much money” that’s just what people say whenever inflation happens, even though there is absolutely 0 evidence that’s the cause
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@jackbrons4904 Yep, I would also add that taxes give money value and create an agreed upon currency. The reason we all trade in U.S. dollars and not bitcoin or seashells or gold coins something is because we need dollars to pay taxes on our assets and income. Also, taxes are much more important for local and state governments, because unlike the fed, they can’t create money and have to “find the money” to pay for things.
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Because taxation is what gives money value, MMT explains this extensively
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She didn’t gloss over that at all, she explained it thoroughly. The return on govt. bonds is interest payments made by the fed to to the bondholders, which is just the fed creating more money by spending, as Kelton described here. And yeah, you can create money out of nowhere, because that’s where all money in the world already comes from. Currency value is affected by lots of things that have nothing to do with creating money. Lastly, inflation targets are supposed to be around 2%, we want currency to slowly devalue. If we have deflation, falling prices lead to lower consumer spending, which is a major component of economic growth. Virtually all economics agree deflation is bad, and we want steady inflation.
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@richardhintze1706 Where do you think money comes from? It’s not a “theory that you can create currency” it’s a literal description of how reality works. Every sovereign government in the world controls its own currency and creates money by spending.
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