Me: MMT is an excellent reform that aligns with but does not rise to the level of paradigmatic thinking about money and finance….the same as several other reforms surrounding money and finance.
JD: Craig. MMT IS the paradigm change we need. It’s the only complete description of the construction of an economy totally based on fact. It doesn’t mean it will solve every issue because we as humans will always be seeking leverage somewhere. But if we see it become dominant it will revitalise economies everywhere. Killing off the false lament that the government cannot afford spending on things they use as excuses for poverty and inequality, which today are blamed on the poor for being poor etc. will be refused acceptance. Even if we are heading to hell in a hand basket, at least let’s sort out the mess beforehand.
Me: I’m sorry, it is good and accurate research on the money mechanics of the current paradigm and a very good attempt at reform.
Paradigms are the essence concepts of patterns and a new paradigm is a new concept whose essence, enlightened by a new insight and/or tool, resolves the major long term problems of an old/current pattern and expresses and creates the new one.
S: Yes that’s why it creates a consistent, coherent post-keynesian logic throughout. It moves away from taxpayer dollars to the public purse. If that’s not a paradigm shift, I don’t know what is.
It’s a very good reform that is aligned with the concept of the new paradigm. The problem is not just government or private money creation. That is indeed a part of the problem. It is about the nature of money distributed. Presently it is in the form of Debt Only. Even money created and distributed by governments are Debt Only. Money in the form of Gifts, completely free of any need to repay it is the new paradigm. That fulfills one of the essential signatures of a new paradigm/paradigm change and that is conceptual and temporal opposition to the old/current paradigm. In Hunting & Gathering it was nomadic relative austere survival to much more abundant agriculture, homesteading and urbanization.
I’m not saying all money should be in the form of Gifts. Loans will still be issued, but true paradigms/paradigm changes are new ESSENTIAL concepts that create new TEMPORAL patterns. MMT is about who creates and distributes money…which is a temporal PART of the new paradigm. Abundantly Direct and Reciprocal Monetary Gifting….by a sovereign monetary authority is the FULL paradigm qualifying concept AND temporal universe pattern change.