Re: Mosler: seminar

[bill mitchell <ecwfm@xxxxxxxxxxxxxxxxxxx>]

Bill R:
>
>4.  Mosler persistently defines "fiat" money as "deficit" spending by
>government, with no distinction between spending that is financed by
>borrowing from the public, and spending that is financed by simply
>"printing" money.  Indeed, he claims that they are identical in their
>effects.
>
>From the point of view of the Govt they are the same.
The govt Treasury couldn't care if no one wanted to buy its debt. They would
just sell it to the Central Bank. the spending would be unaffected.
Only the private asset accumulation would be interupted as excess reserves
sat in stashes and earned nothing!

And a question:

The Govt requires neither taxation nor bond sales to spend as much as it
likes.

So what is the role of taxation if it is not to "finance" spending?
So what is the role of bond issues if they are not to "finance" spending?

Those who are locked into the old public finance mould have to address
these questions.

kind regards
bill
         ####    ##        William F. Mitchell
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