Franc thoughts on long-run fiscal issues
Anti-'MMT-types' migrate to stage II
MMT, Again
Printing Press Mystery
His acknowledgement:
Countries without a printing press are subject to self-fulfilling crises in a way that nations that still have a currency of their own are not. The point is that fears of default, by driving up interest costs, can themselves trigger default — and that because there’s a crossing-the-Rubicon aspect to default, once a country crosses that line it will probably impose fairly severe losses on creditors. A country with its own currency isn’t in the same position: even if it is pushed into some inflation, there’s no red line that need be crossed.
That’s why America isn’t Greece; and why the UK is being foolish in imposing eurozone-type austerity on itself.
