Could 'Modern Monetary Theory' Save The World? | Ash Sarkar Meets Stephanie Kelton

28th October 2024

For those of you who look at this web site regularly you will have seen videos from Richard Murphy explaining Modern Monetary Theory and today we are grateful for him pointing to the video interview with Stephanie Kelton. It may seem like a video for economy students but it gives good easy to understand explanations.

It is over an hour long but before the budget on Wednesday 30th you might better understand what the chancellor Rachel Reeves is doing if you watch it and then spot if she is following any of the principals MMT.

If this video is too long then Richard Murphy himself did a much shorter video recently and you can find it HERE

These videos may help you understand more about government deficits and that they are not like household budgets.

Usually the reason given for austerity, or lack of government spending on services and infrastructure is that there simply isn't enough money - we must simply tighten our belts. The typical leftist response to this is that we should just tax the rich in order to generate the money needed for such expenditures.

But what if neither of these arguments is right. What if believing that these are the only two options is what is actually stopping us from improving people's quality of life.

Stephanie Kelton is an author and economist, and subject of the new film ‘Finding The Money’. Her work as a proponent of Modern Monetary Theory and as an advisor to Bernie Sanders has put her front and center of the debate around government debt, taxation and the potential green industrial revolution.

She sat down for a remote conversation with Ash to discuss debt, Liz Truss and whether you really need to tax the rich.