August 30, 2020
MMT: fraudsters united
Comment on Richard Murphy on ‘Steve Keen’s lightbulb moment on modern monetary theory’*
Richard Murphy, Steve Keen, and Stephanie Kelton have been individually refuted some time ago.#1, #2, #3
According to Richard Murphy, the big MMT lightbulb consists of “the deficit creates money”. This is not quite correct because the public deficit creates counterfeit currency.#4 And because of the Profit Law ⇒ Public Deficit = Private Profit this mode of money creation is NOT neutral with regard to distribution but a massive free lunch for the Oligarchy.
Needless to emphasize that distribution is not an issue for the MMT sales team that poses as progressive friends of WeThePeople.
These are the facts
• MMT policy is NOT in the interest of the WeThePeople.
• MMT policy amounts to an abuse of the fiat money system.
• The profit effect of MMT money-creation/deficit-spending strengthens the Oligarchy.
• Politically, MMT is a fraud and scientifically it is garbage.#5
Axiomatic macroeconomics tells one that late capitalism can only survive with ever-increasing public deficit-spending. COVID has made this clear to even the dullest person as deficit-spending explodes around the world. This is why Steve Keen jumped on the MMT bandwagon. His Minsky model now confirms Stephanie Kelton’s new sales brochure. What a happy coincidence!
#5 For the full-spectrum refutation of MMT see cross-references MMT