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Yea that gets me too.

thanks for the feedback, very interesting thoughts.

My economics teacher agrees with me. ...I agree with me....

What you don't understand is that the government can only print extra pieces of paper. That's not the same as printing what you consider to be money. Money is just a physical representation of valuable things in the economy. And the government can't print more of those. Only productive business can. If the government prints money is just more paper to go around

When the government wants more money, they "sell" Bonds to the Central Bank. The Central Bank then issues billions of $ out of thin air to "pay" for these Bonds. The same thing happens when you get a mortgage. Your local bank "borrows" money from the Central Bank, who just issue it out of thin air. That's why housing prices are so high - there's no upper limit on housing costs when there's no upper limit on how much the bank can lend. Central Banks control the money. Technically they aren't a part of the government, but realistically they are.

@@URProductions Go watch "Money as debt". Then watch the videos which try to debunk that. Then try to find out what happened in 1913 with the federal reserve act. Then try to find out who control when new money is created. Then wonder why that's not the government.

@@markboggs746 Way ahead of you, man. I already know all that stuff. FDR, Nixon, 2008, the whole ugly story.

@@URProductions My bad. It's amazing how people think is reasonable for a country to need to ask someone else for it to be allowed to create new money.

Is that another video about MMT?

You're ignoring the fact the greatest economic growth and rise in quality of living ever, happened in the 19th and early 20th centuries - while we were still on the gold standard. MMT is simply the macroeconomic version of stealing your dad's credit card. It might make you look prosperous for a while, but sooner or later the credit card maxes out.

@@cecaloather8701 HEY. be respectful of your opponents in a debate. I will not allow this to turn into one of those shouting matches the political figures are always getting into. instead of attacking your opponents viewpoint and trying to make him look stupid, just give a rebuttable and build your own. Here is is the essence of cecalotather8701 agument: look at the exponential GDP growth post WWII and 1971 and compare it to your so-called golden age. By the way, silver not gold is the global reserve currency of the 19th century. Ever asked yourself why was it silver instead of gold back then? Does it have to be silver or gold? Gold, like fiat, like silver, like copper, *[REDACTED]* even like cowries or cattle are just commodities with no intrinisic value. What makes them valuable is the trust of those issuing it as currency. If one insists on capping economic growth by limiting to a gold or silver or whatever standard, the economic progress post 1971 would not have happened. You say MMT is like maxing out credit cards. Well, are you suggesting that you wouldn't extend credit even during an economic recession then? Realise that debt is what that fuels the modern economy. No debt, no economic growth. Is an economy where banks don't lend healthy? Again, look at the debt in wealthy countries and the impoverished ones. If what you said were true then shouldn't the less indebted third world be more prosperous than the heavily leveraged first world? Isn't that like saying that the 2008 financial crisis is the best thing ever because there is lesser debt since banks don't lend?

The theory is actually quite brilliant - it successfully fooled millions of people for generations!

@@URProductions only people who wanted to be fooled, it is more of a post facto narrative to give people justification for what htey were already gana do

hey you know someone came up with that theory, be nice.

Are you sure? Millei effectively made the USD not the peso as legal tender. How can you conduct MMT if you have no control over the peso? Why are you silent when you see developed countries get all the more richer the more money they print in the 80s and 90s? Murica is the country you should be looking at. If you have financial dominance over the globe and you have suckers that think your GBP, your USD, your Euro and their sovereign debt are good investments, you can do MMT.

If you have a massive debt in dollars, MMT doesn't apply. You have a large dollar economy that's not sovereign.

i think he's talking about pre-Milei @@cecaloather8701

@@ChannelMath Indeed. A lot of people who laugh at MMT which really is the explanation of what we saw in the global economy post Bretton Woods and gold standard neglect or refuse to see that if you are able to owe debt in YOUR OWN CURRENCY domination, there's not only no hyperinflation, you tend to do very well. The debtors post Bretton Woods have it easy. The poor creditors on the other hand like the countries of Latin America, Africa and South Asia are screwed owning debt in the currencies of the debtors and great powers.

​@@cecaloather8701 first off milei has not done anything to the peso YET, it is also a misconception that what he intends is to "dollarize" the economy. the actual plan is transitioning into a free currency competition allowing for contracts of any nature to be made and paid in any currency that both parties agree to use. this will allow argentinians to use whichever currency is stronger at the moment and leave behind currencies which are either weak or prone to tampering, of which the USD seems like the latter these days (i myself will use the dollar for everyday transactions when the time comes but i plan to use swiss marks as value storage long term) after that the central bank is closed and left to rot as the shameful stain that it was in argentinian history, this will impede following goverments from ever financing debts with currency printing why oh why would we do this since "you see developed countries get all the more richer the more money they print"? well let me put it this way. Argentina was one of the richest countries if not THE richest country in the world in the late 1800's and early 1900's with the highest GDP per capita in the world between 1895 to 1896. by all means the most developed country of south america. And then came populism. be it yrigoyen, peron, the kirchner couple or any other half baked politician the formula was always the same, spend more money that you have to finance any needs and wants of the populace in order to get reelected, finance the resulting debt by printing money, blame the last guy for you "needing" to do the exact same, rinse and repeat. this produced what you would expect. of the last 122 years argentina suffered a fiscal deficit during 112, generating the neverending streams of crisis after crisis we've lived through the last century. out of the entire population we are currently sitting at a comfy 50% poverty and 10% extreme poverty half of the workforce and the economy is in the black market thanks to regulation, inflation and exhorbitant taxes. the central bank emiting money to pay government debt racked so much inflation that we KILLED 4 CURRENCIES, one after another after another, we are currently in our 5th and hopefully last. TLDR: you can't sell modern monetary theory to someone who has lived through it's horrors. also this reminds me... czcams.com/video/Wv_0_Lu_Iyo/video.html&ab_channel=TheBabylonBee same energy. @G.H.B.P. once again amazing video, don't let anyone tell you otherwise. thats a subscribe and bell from me <333333

Yes exactly. And you can even induce growth by spending, for example if you employ unemployed people. If printing money devalues money, than why can we create 1 billion trillion dollar tomorrow and just let it sit on the bank account of the government, would it change anything? No. But what if we gave it to rich people, would it then cause inflation? Also no, because most rich people have already most things they want and they actually save a lot of money.

Very nice thoughts guys, I appreciate your respectful domineer. I didn't know that the government has a lot of debt to itself. but ( :P ) Even if the country continues to pull in taxes, even high taxes, its only a matter of time before the debt becomes so great that each dollar is worth an atom of gold. Now ever EVERY country is doing this, they can continue to sell and barter for atoms and sustain the global economy, probably infinity. But if think about it on a personal level, it means that my 2$ candy bar that used to be worth 2 ounces of gold is now only worth 1 atom. What I'm saying is the value of individual items would go down drastically, which wouldn't really be noticed because EVERYTHING would go down, but it would only take one country to stick to the golden standard ideology and pull ahead of the entire global economy just by not getting into debt. ...this is great I love how this has spawned a lively discussion.

@G.H.B.P. why? This logic only works for the gold standard. More money in a system doesn't automatically reduce the spending power of a dollar. America multiple times in the past has just printed tens or hundreds of billions of dollars, and nothing happened to inflation.

Though it is really stupid, just not for this reason

mmt really is a terrible idea, what's wrong with his explanation?

Not a strawman at all. Yes, the actual theory of MMT is a lot more complex than this. But this sums it up pretty aptly.

oh no XD were do you see I puled a straw man?

Indeed. The countries that practise MMT have done so for decades post 1970 and tend to be the more prosperous ones. I am talking about Europe, Japan, Murica, the ones that are heavily leveraged. If you think more debt leads to an economic apocalyse then why those countries prospered and third world countries that owe way, way less are struggling?

@@cecaloather8701 That's like saying "look how rich I am" after nearly maxing out my father's credit card.

@@URProductions Running the economy is not managing your father's credit card. Your modern economy is run by debt and debt is a good thing in a modern economy, especially if it is debt in your own currency. Your logic that debt is bad would mean that you think the 2008 financial crisis is the best thing ever since banks daren't lend. If no one dares take up debt, how are you going to say build your infrastructure that requires a lot of financing? How are you going to run your business that requires you to take up debt storing and buying inventory, pay wages and so on? Debt is not a bad thing if you obviously can pay it back, if the debt is issued in its own currency. You think that spending limits should be based on a limited commodity instead of an economy's capacity and potential to produce. This is stupid and ruinous.

@@cecaloather8701 Thanks for the feed back bro! I appreciate your explanations, thanks for explaining it further!

For example: If you print money and build an international airport, and it turns out to be highly popular and successful. The increased economic activity will match the money you've printed. But if you print money and build a giant statue of John Maynard Keynes in every town. Then you're soon going to have a cost-of-living crisis.

@@andybrice2711 except nobody did anything like the second thing but lots of places have cost of living crises.

​@user-ib9ky2jo9h thats for complex reasons, alot of which involves new forms of corporate investing based on the idea of land as a investment rather than a right, wealth inequality, and depending on the country it can also be discriminatory immagration laws that incentivise wealthy future citizens to buy multiple properties far above market price. I get more into these bellow, but those are really the big 3 in canada and the US. If the wealthy get wealthier, they are willing to pay more for land they want, increasing the market cost. I live in a area that has been becoming increasingly tourist-y, and as rich people from cities come to purchase beach front property as a summer home, prices have increased dramatically. This has a ripple effect, where those who just sold their house far above the current market price will now move and purchase a new home somewhere else, likely above market price as well since they have the money, increasing the market price of houses outside of the tourist location. Depending on your area immagration laws that favor the rich can also raise prices. In canada those planning to immigrate here are far more likely to be allowed entry if they own both a business and a home. There are multiple essentailly empty stores downtown in the nearest urban area to me because wealthy people bought a store so they could live here, only open it one or two days a week so they can claim it as a business, and just sit on the property for a few years because they need to for immagration. They are often looking to get citizenship fast, and are often willing to pay 5 times market price for any property because my government decided that wealth and property should be the deciding factors for choosing who is worthy to be a canadain. This of course raises housing prices The final reason is big corporations. Companies like black rock have been buying thousands of family homes every month, and letting them sit empty until housing prices get high enough that they can rent these properties out for insane costs, artificially creating a housing crisis to proffit off of

If Apple goes bankrupt, tens of millions of people don't die. The government should not be gambling with the fate of a nation. They should make reasonable policies and extract reasonable taxes in order to uphold national institutions and laws.

@@user-ib9ky2jo9h Fair point. It was a deliberately absurd example. I think some more subtle and realistic examples which could also lead to inflation are… If you build misjudged infrastructure. (Such an international airport which proves unpopular.) If you invest in services which are morally good but not highly economically productive. (Such as elder care.) If you invest in services which take years to become economically productive. (Such as schools.) If you're trying to stimulate an economy which is incapable of being productive. (For example because all your workplaces are temporarily shut down.)

i know it sounds just like a chair! But really there was no furniture involved.

Yeah come on man I’m trying to watch tv🙄

thanks

I- yes very happy.

thx, sorry I never finished them.

no teeths.