GhostOnTheHalfShell on Nostr: My major issue with the Guardian article is that it does not understand MMT. The US ...

My major issue with the Guardian article is that it does not understand MMT. The US government does not finance itself with taxes or with bonds.

The federal reserve is required by law to honor every check written by the treasury.

The negative balance of the treasury is the monetary base. Federal spending adds money to the economy.

By purchasing those bonds, Bessent is putting even more money into the economy.

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