Re:What is the Eurodollar System? (2020) [pdf]
by epistasis on Sunday April 10, 2022 @02:19PM
(#30979997)
There are some really great insights for developing countries from MMT, but one could also argue they are good ideas anyway and perhaps not unique to MMT (a fuzzy critique that could be lobbed at most good advice). Fadhel Kaboub is the person I've heard speak on this the most, including with presentations to Ukraine, for example:
In general the advice is to 1) maintain economic sovereignty as much as possible by avoiding debt denominated in foreign currency (IMF is pretty evil in this regard), 2) focus on maintaining economic activity that builds the basic needs of society, like food production, etc.
At its heart MMT is a really simple concept and pretty undeniable, just pointing out that the emperor has no clothes when it comes to rhetoric and political whining about debt. Inflation is still a big risk when spending capacity overreaches production capacity (or, as recently, production capacity seems to shrink...).
https://denison.edu/people/fadhel-kaboub
https://youtu.be/_6_hgLwaFuk
In general the advice is to 1) maintain economic sovereignty as much as possible by avoiding debt denominated in foreign currency (IMF is pretty evil in this regard), 2) focus on maintaining economic activity that builds the basic needs of society, like food production, etc.
At its heart MMT is a really simple concept and pretty undeniable, just pointing out that the emperor has no clothes when it comes to rhetoric and political whining about debt. Inflation is still a big risk when spending capacity overreaches production capacity (or, as recently, production capacity seems to shrink...).