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Economics Inequality Money and Banking

IS-LM and Making Sense of MMT

IS-LM and MMT The core issue at the heart of debates between the heterodox Modern Monetary Theory (MMT) approach and more mainstream macroeconomics is how the financial economy and the real economy interact. As a consequence we see Keynesians of various hues attempting to illustrate their response to MMT with the standard orthodox Keynesian IS-LM […]

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Business and Society Economics

The New Scientist on Economics

Last year a strange bit of ‘neoliberal’ propaganda surfaced in the New Scientist of all places. In what purported to be a report of recent research, Washington University psychologist Pascal Boyer has written of how the ‘human mind is designed to misunderstand the mass-market economies we have created’. He says ‘evidence from psychology and anthropology…reveals […]

Categories
Brexit Electoral Reform News Politics

A Second Brexit Referendum?

In my last piece on Brexit I somewhat underplayed the role of a second referendum – suggesting that it would only probably come into play after a further general election, probably one that Labour won. Things have moved on from then in that the negotiations have coalesced into a deal with which, rather remarkably, neither […]

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Economics

David Andolfatto on Money and Banking

Canadian economist and central banker David Andolfatto recently constructed a model intended to ‘reconcile’ (or I think more accurately to distinguish between) ‘mainstream’ and ‘heterodox’ views of the macroeconomic importance of money and banking. More specifically, he wants to answer the question: does the ability of banks to ‘create money’ when they issue loans give […]

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News Politics

Trump in Scotland – Let’s Protest for Mary

Donald Trump is coming to Scotland. He claims a special link to this country due to his Lewiswoman mother, Mary Anne Macleod. How should we respond to his visit – is it really an unacceptable violation of our liberal democratic culture for this American President to visit the UK and Scotland in particular? Is it […]

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Brexit News Politics

Brexit Endgames

Today Theresa May’s Cabinet are meeting at Chequers (the UK Prime Minister’s out-of-town residence) in an attempt to thrash out a final Brexit negotiating position with the European Union. As they do so, the biggest threat to Brexit seems not to be a realisation of its purposelessness, although that will surely come soon enough, but […]

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Brexit News Politics

The EU, Democracy and Brexit – Part 2

The Path to Brexit At the root of the ‘Brexit’ mess is a possibly unprecedented act of self-serving recklessness by the leader of a government in a democracy. It is in large part one which lays bare the sham of the UK’s primary democratic process – its system for electing representatives to its governing Parliament. […]

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Brexit News Politics

The EU, Democracy and Brexit – Part 1

This is the first of three blog posts examining the past, present and future of the UK’s decision to leave the European Union. The Role and Nature of the European Union The great divide in politics (and perhaps human affairs in general) is between co-operation and competition – whether between individuals, businesses or countries. The […]

Categories
Equality Philosophy Politics

Harry Frankfurt Gets It Wrong On Inequality

The eminent philosopher Harry Frankfurt has issued a small book comprising parts of two essays written some decades ago (On Equality, 2015, Princeton University Press). The stimulus to this publication is the recent work of Thomas Piketty on economic inequality in the developed countries, and Frankfurt’s view that It is, I believe, of some considerable […]

Categories
Business and Society Economics Money and Banking

The Production of Money: How to Break the Power of Bankers – by Ann Pettifor

Ann Pettifor is a director of Prime Economics, which advocates for a more Keynesian view of macroeconomics, and has been involved in development and environmental economics for many years. In The Production of Money: How to Break the Power of the Bankers (Verso, 2017) she correctly identifies that ‘money enables us to do what we can […]