Register a SA Forums Account here!
JOINING THE SA FORUMS WILL REMOVE THIS BIG AD, THE ANNOYING UNDERLINED ADS, AND STUPID INTERSTITIAL ADS!!!

You can: log in, read the tech support FAQ, or request your lost password. This dumb message (and those ads) will appear on every screen until you register! Get rid of this crap by registering your own SA Forums Account and joining roughly 150,000 Goons, for the one-time price of $9.95! We charge money because it costs us money per month for bills, and since we don't believe in showing ads to our users, we try to make the money back through forum registrations.
The Something Awful Forums > Discussion > Debate & Discussion > Do We Need To ""Pay For" Federal Programs? Talking Modern Monetary Theory
 
  • Post
  • Reply
Flowers For Algeria
Dec 3, 2005

I humbly offer my services as forum inquisitor. There is absolutely no way I would abuse this power in any way.

Charlz Guybon posted:

What about countries not in a currency union?

Argentina defaulted in the 90s didn't it?

Several reasons.

International debt isn’t in local currency. Doesn’t matter how much you finagle with the value of the peso, if your debt is in US dollars you’re going to have to pay in US dollars. Interest rates are a huge factor too: the worse your situation, the higher the interest rates. Finally, in the specific case of Argentina, the government had pegged the value of the peso on the US dollar, which didn’t evolve alongside the Argentinian economy (when the peg was removed, the peso predictably crashed hard).

Monetary policy is complicated as heck! What I’m interested in is what MMT has to say on the euro and the ECB. Anyone got some reading on that?

* # ¿ Jan 24, 2019 09:09
  • Quote
Adbot
ADBOT LOVES YOU

# ¿ May 15, 2024 10:06
  • Quote
  • 1
  • 2
  • 3
  • 4
  • 5
  • Post
  • Reply
The Something Awful Forums > Discussion > Debate & Discussion > Do We Need To ""Pay For" Federal Programs? Talking Modern Monetary Theory