But is it just a case of telling a coherent narrative & bond markets will be semi-ok with more borrowing, or that even if they aren't, it is in the long term interests for the gov to invest, so we suffer short term consequences of a bad reaction. Is there anything the BoE can do to support the gov?

It's clear you think taxes should rise on middle earners, but what is your opinion about Zack Polanski and him wanting more borrowing to invest in public services, the green transition and insulating homes. He argues they have associated spending multipliers which should spur growth?

At a national scale no, but globally probably yes, trying to get all nations to agree.. but perhaps with all the death and economic harm of the COVID pandemic govs may be more receptive.

*contributes

Sadly, I think it will be really difficult now since the variants are far more transmissible. As I say in the paper and the interview, this is a strategy that will only really work at the beginning of a pandemic, before the evolution of more transmissible variants.

Did you read the interview in the link?

Live and let live. I've never understood why people let their base insecurities take over when presented with someone who does something differently or makes different life choices.

What does MMT say about countries with trade deficits and countries whose currency is not a major reserve currency? What are the constraints or consequences of deficit spending, which leads to net spending abroad?

Btw we can decouple national economic objectives from international trade objectives & that is a world clearing currency that Keynes suggested (he called it the Bancor) or an International Monetary Clearing Union as Paul Davidson suggested. But establishing these is a big global political challenge

You gave no explanation & just made statements🤦‍♂️
I literally said it doesn't automatically lead to weaker pound & *imported* inflation. But needs considering when figuring out limits of gov spending — which I completely support in order for the gov to achieve social and climate change goals!

Dismissing what I said out of hand as nonsense is offensive and you didn't even address the substance of what I said in this reply! And to think we're probably on the same side !!!!

Only if it decreases trade deficit & in any case this will take time. In short term, spending with a trade deficit risks what I said (ofc it's not guaranteed since it depends on details of how people spend money).

And please be respectful, or would you rather I start my reply calling you an idiot!

I broadly agree, but as I understand it, as a trade deficit country there is the risk that gov spending will end up increasing the deficit with the rest of world, weakening the pound and leading to increased (imported) inflation.

(I'm fully aware you don't do MMT, but shorthand for limited character space!)