Dear Geoff and other AFEE list members,
I believe MMT is not well understood, by the press or most economists. At least three groups of economists have erected a phony MMT and then attacked it. The press has amplified these distorted views. In this belief, I am in agreement with Randy. I have constructed pages on my economics blog on MMT, including a resource page with links to comprehensive accounts of MMT by its founding members. One thing I am trying to convince people of is that MMT is only a set of views on monetary and financial institutions. Many of the views of the U.S. MMTers on various policy issues such as Medicare for All are not part of MMT itself. Moreover, as MMT emphasizes applied implications, one need not agree that the chartalist story of the origins of money is true in all cases and without qualification to be an MMT supporter. MMT is rather compatible with Original Institutionalism, and with Randy's earlier work, which was different in scope in that it covered mostly private-sector liabilities. Hyman Minsky espoused most if not all of MMT. It is horizontalist but contains a story of a pyramid of liabilities subject to default risk. It increasingly fleshes out an account of non-sovereign currencies and exchange rates.
Links to the MMT pages on my site appear on the homepage: https://greghannsgen.org
Page of authoritative MMT works, many of them free and on the web:
I was convinced by Randy's excellent 1990 book and cited it in my dissertation on endogenous money. Randy brought me up to date over the years on his thinking after I met him at the Levy Institute. At first, I cited MMT work but did not adopt the MMT terminology at first or become a public supporter of MMT as a whole in my blog for example. I officially became a supporter of MMT by name in my blog a few years ago, I think, after some careful thought.
Here is a collection of photos documenting my evolution as an MMTer:
In my view endogenous money views are the heterodox theories of money.
Great question in my opinion, Geoff!
Greg Hannsgen, Ph.D.
Greg Hannsgen's Economics Blog
Research Associate, Levy Economics Institute of Bard College
Page with information about me and my work, including where my working papers can be found:
On Sat, Oct 12, 2019, at 7:31 PM, Geoff Schneider wrote:
Dear AFEE folks,be
MMT continues to attract a lot of attention.
From The Economist, October 10, 2019:
On the left, wacky schools of thought like “modern monetary theory” (mmt), which says, roughly, that as long as inflation remains contained the government can borrow as much as it likes and that fiscal policy should manage the economic cycle, have influenced some people such as Ms Ocasio-Cortez.
The recent issue of the Real World Economic Review devoted to MMT is also interesting, with articles by Randy Wray, Anne Mayhew, and many other prominent heterodox economists:
I am still digesting all of the different perspectives in this
issue, and I would be interested to hear how other institutionalists view this debate.
Presidential Professor and Co-Chair of Economics at Bucknell University