THE BASICS OF MODERN MONETARY THEORY by Alex Little

THE BASICS OF MODERN MONETARY THEORY by Alex Little

What is MMT? Modern Monetary Theory (MMT) is a branch of the heterodox Post Keynesian school of economics. At a basic level it is comprised of the following ideas:

1. Taxes drive money;
   
2. Taxes and borrowing don’t pay for government spending;
   
3. Countries like the UK cannot go bust;
   
4. Functional finance;
   
5. Sectoral balances;
   
6. Endogenous money;
   
7. Governments should pursue full employment;
   
8. Focus on real resources, not money.
   
9. So what do all these things means?
   

https://alittleecon.wordpress.com/2014/06/03/the-basics-of-modern-monetary-theory