Entirely glorious

It always does come to MOAR TAX, doesn’t it?

Second, the aim was to tackle the inequality which MMT, by encouraging deficit spending, creates. MMT is in denial on this issue. It needs to get its collective head around it very quickly if it is to remain credible. I see little sign of that happening right now, and deeply regret it. It places MMT in a rather uncomfortable place. That some of its leadership (Warren Mosler and Randy Wray, in particular) have never seemed to understand the need for tax as a mechanism for redistribution only leads to my sense of disquiet on this silence. MMT has to be used for sound social purpose or as an explanation it has no worth.

P³ has always had a problem. He desperately desires to be the Lord High Tax Denouncer, able, at his whim, to nick more money off everyone. But he embraces MMT, which says you don’t actually need tax to to fund government.

Which is, you know, a pity, if you want to charge everyone MOAR TAX.

So then he notes that you should have MOAR TAX if inflation arrives. But inflation is being stubborn about arriving, indeed the P³ insists that it won’t. Which is a pity because it rules out MOAR TAX.

So, umm, how to justify MOAR TAX?

Well, government deficits create inequality it appears. Therefore MOAR TAX!

At which point the LHTD gets to pleasure himself into a sweaty puddle considering which of the big boys who stole his lunch money get taxed. So that’s alright then.

4 thoughts on “Entirely glorious”

  1. The Other Bloke in Italy

    I am sure it must have been pointed out before, but MMT stands for Magic Money Tree.

  2. I struggle to understand how printing money to provide (say) free school meals for poor children increases inequality.

    It must be because I don’t hold three Professorships.

  3. Cadet; it’s down to how the national accounts get done, a thing called sectoral balances.

    Which has the feature (bug?) that government spending is on one side, and the private sector on t’other.

    Thus, government borrowing must, by definition, be balanced by private savings.

    And increased private savings clearly mean increased wealth, so eleventy!?!! Inequality.

    But you probably knew that anyway.

  4. Brilliant by Tom.
    I haven’t seen such a brilliant translation of hard anti-liberal statist philosophy into any language of note.

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