• josefo@leminal.space
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        20 days ago

        Most of the country is under the poverty live genius, and the ones that are not, have no money no spend and that why a recession is happening. Take your head out of your ass.

    • ryathal@sh.itjust.works
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      21 days ago

      This is terrifying news for the MMT crowd though as it’s pretty good proof their theory is bullshit.

        • ryathal@sh.itjust.works
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          20 days ago

          MMT argues that government printing money isn’t inflationary, and inflation can be controlled with taxes. Argentina had massive inflation while spending and taking on debt, and magically it’s gone down as measures to stop that spending were implemented.

          • jacksilver@lemmy.world
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            19 days ago

            Is that right? I thought the general notion is that demand outpacing supply causes inflation. Doesnt printing money inherently increase demand? That’s why the Fed raised interest rates to fight inflation in the US, it slows money down by making things more expensive (in simplistic terms).

            • ryathal@sh.itjust.works
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              19 days ago

              To MMT the printing of money is only inflationary when a country doesn’t have additional productivity. Thanks to digital products and services though l, production is nearly infinite. Others argue that all printing of money is inflationary.

              The Fed only really has interest rates as a tool, so they raise it when inflation goes up. It can fight inflation by slowing lending, which thanks to fractional reserve banking is the primary source of money being printed/created.

              • jacksilver@lemmy.world
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                19 days ago

                Seems I need to read up more on the specifics of MMT. It feels like you keep contradicting yourself between your posts, but maybe I’m just missing something?