Re:NASA executive quits weeks after appointment to lead 2024...
by rayiner on Friday May 24, 2019 @05:55PM
(#20005635)
> From an MMT perspective, the government (any one using it's own fiat currency) creates and destroys money rather than spending and receiving it, even if it pretends otherwise in an outdated effort to ape a commodity-/representational-money system.
Even under that view, you can still see a difference. Spending $1 trillion in healthcare requires the government to create $1 trillion permanently. Spending it to purchase mortgage backed securities that are eventually sold or mature requires creating that $1 trillion only temporarily (while the asset is held).
From an MMT perspective, the government (any one using it's own fiat currency) creates and destroys money rather than spending and receiving it, even if it pretends otherwise in an outdated effort to ape a commodity-/representational-money system.
So, viewed that way, it really has no need for such an asset.
> Now, it is true that money spent on universal healthcare isn't being lit on fire--the government and the people gain some benefit from it. But that's in the benefit column, not the cost column.
In the cost column is a reduction in private healthcare costs exceeding the I crease in public expenditures, as shown in every analysis (including ones from hostile sources), so if the government raised taxes so as to leave private taxpayers in the same position as they would be in with status quo policy, net government outflow would be reduced without any adverse impact on taxpayers.