Comments by "Aden Wellsmith" (@adenwellsmith6908) on "Does MMT say we can spend without limit?" video.

  1. Murphey still thinks printed money has value and can be turned into goods and services.
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  2. Have you seen the video of Biden's economist talking?
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  3.  @abody499  What tim has posted is correct. Print money you get inflation. The left think that the government can print and exchange the money for services and goods. Simple test. Pay government workers in vouchers. No need to tax or fine. Now do you see the problem? Who would accept vouchers? Next the left think that you can print to pay ANY debt. Well for fixed rate debts, you can. But you get inflation and you screw your creditors. But for inflation linked debt, like pensions it doesn't work. The other myth. Governments are not households. The problem here is that services and goods are real things. To pay for those you need to give money value which means taxation or fines. Taxation and fines are limited because short of invading another country, you are limited as to how much you can extract out of taxpayers with no services because the money is going on the debts. ie. You need austerity to pay debts.
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  4.  @davidcann8788  The problem is the numpties are using MMT to say spend spend spend and dump the debt on the young, asset strip the workers.
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  5. Why shouldn't HS2 be funded from ticket sales?
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  6. Mass migration causes a housing crisis.
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  7. So we've had a couple of decades of major Keynsian spending because there's a deficit. The New deal was 1% of GDP in the US. We've had that in spades here. Many times 1%. Why has it failed?
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  8. 1. Major confusion about money and value of money. The assumption print, and you can get goods and services for the money A simple gedanken experiment shows why this is bonkers. We introduce a new currency. No need to tax or fine to back it up. The government prints away and pays its staff in the new currency. It needs a snazzy name. Lets call it the voucher. To help its introduction it doubles the wages of its staff. Instead of £50K a year, they get 100K of vouchers. Everyone else switches to the dollar. What happens when those employees try and spend their vouchers? 2. Full employment is a complete red herring. 3. Governments are exactly like households. Print as much as you like, the problem comes when you try and change it into goods. Another gedanken experiment shows this. The government passes a law. A UBI is introduced. £200K a day, inflation linked, for everyone in the UK. £200K is price of a nice Ferrari. So you get your UBI payment and go down the car dealership. I'll have my Ferrari. You want it to export it to turn that money into dollars. Ah yes, you can't exchange the money for goods (or services). The reason is the state now has a debt, that UBI, where the VALUE promised exceeds the VALUE generated by the UK economy. The state has defaulted on its debt to pay that UBI. This household argument, print to pay and never run out, is based on the assumption that money has value. 4. So you are limited by the ability of people being taxed to give up their wealth, their purchasing power.
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