economics - where to begin?

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On the flip side, a world of socialized finance would cut out the middle men that currently make public investment so laborious: instead of coaxing private actors and asset managers into investment projects with tax expenditures and instead of forcing “users” to subsidize their returns into the far future, public investment projects would revert as far as possible to direct government spending sustained by a progressive tax system and an accommodative central bank. We cannot avoid the tax issue, as Modern Monetary Theory sometimes does, because we need to actually eliminate tax subsidies to private investment. This would allow us to accelerate urgent projects such as renewable energy transition that are currently failing not because they are too expensive but because they are too cheap and provide too few opportunities for private profit making and rent extraction.

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budo jeru, Friday, 17 May 2024 19:29 (four months ago) link

re: her discussion of supply side, i wish she had elaborated on the "floating dollar" as it relates to global markets and how that effects US public spending and domestic economic policy more generally. it gets particularly interesting an as explanation for why the US spends extravagantly in some domains but must adhere to austerity in others.

i think this is quite a separate point from what i had understood "supply side" to mean, i.e. a technique or theory within neoliberalism that seeks to achieve a certain kind of austerity through tax cuts and "promoting the free market"

budo jeru, Friday, 17 May 2024 19:31 (four months ago) link

Yeah it furthered my understanding of neolib somewhat where there is cash for defence spend but not, say, education. I focused on the political outcomes, so got something out of it.

xyzzzz__, Friday, 17 May 2024 21:00 (four months ago) link

re: her discussion of supply side, i wish she had elaborated on the "floating dollar" as it relates to global markets

i think this is quite a separate point from what i had understood "supply side" to mean, i.e. a technique or theory within neoliberalism that seeks to achieve a certain kind of austerity through tax cuts and "promoting the free market"


It’s weird to see those two terms discussed as contemporaries… supply side economics was basically 1/2 of Reaganomics, the other being “trickle down theory” whereas here in the US at least, “neoliberalism” didn’t get used until at least a decade later , post cold war

sarahell, Saturday, 18 May 2024 03:14 (four months ago) link

The other day I attended a city hearing where the other item on the agenda had to do with affordable housing and the government people were basically saying that tax credits were essential to the developers doing the building of the housing…

sarahell, Saturday, 18 May 2024 03:17 (four months ago) link


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