Now That You Know - An MMT Policy Guide
Behind the Curtain
"Now That You Know: An MMT Policy Guide" is for those ready to move from understanding Modern Monetary Theory (MMT) to applying it. It's a guide that confronts the complexities of using MMT principles in a globalised world.
This guide expands on the foundational concepts from the "MMT Starter Pack," confronting the real-world complexities that critics often claim MMT ignores. It delves into how a monetarily sovereign government can manage inflation without resorting to unemployment, using targeted tools like fiscal policy, strategic public investment, and buffer stocks.
The guide examines the intricate interplay between domestic policy and international dynamics, including how a nation manages its external balance and trade with a sovereign currency. It includes historical and recent case studies, such as the crises in Sri Lanka and the United Kingdom, to illustrate how a nation's policy space is shaped by its institutional capacity, political position, and foreign-denominated debt.
Finally, the book re-frames the roles of interest rates and taxes, showing them not as neutral tools, but as mechanisms for shaping the economy and achieving a clear public purpose. It is a toolkit for challenging destructive economic myths and advocating for a more just, stable, and prosperous world where dignity is a guaranteed outcome.
This guide is for those ready to move from understanding Modern Monetary Theory (MMT) to applying it. It expands on the "MMT Starter Pack" by confronting real-world complexities like inflation, interest rates, and the global economy. The book details how a sovereign government can manage inflation using targeted fiscal policy and buffer stocks, rather than unemployment. It explores how international dynamics, such as the crises in Sri Lanka and the UK, shape a nation's policy space. Finally, it re-frames the roles of taxes and interest rates as tools for achieving public purpose and building a more stable economy for all.