The following video is an interview Warren Mosler did with the Norwich Bulletin in Connecticut in his run for Dodds old Senate seat. He was originally led to believe he would be able to participate in the debate with Blumenthal and McMahon but at the last minute he was snubbed (They were scared he would make the other two look like morons) The Norwich Bulletin did a 75 minute one on one with him and it really is quite good I think.
http://www.youtube.com/...
As Ive posted here before Mosler is an economist and finance guy, amongst other things. He has an understanding of banking operations that gives him a unique view on much of our poisoned economic rhetoric today. The video I'm linking to is the third in a series of five 15 minute segments. I urge all of you to take the time to see all five at some point. The questions he addresses AND the way he addresses them are important. I think its safe to say you probably havent heard anyone talk about things the way he does. He's not the most charismatic guy but he has an openness and directness about him that is quite refreshing to me.
He starts off talking about the role of govt, as he sees it, and I think it will resonate with most of the progressives here......its to advance public purpose. Its a support system for the private sector. He talks about what the national debt really is and how its generated. He also talks about the "purpose" of taxation, not as way to generate money for the govt (the govt issues the money we pay taxes with) but as a way to regulate aggregate demand.
He is then asked a good question in an awkward way by the reporter about the collapse of Russia. The reporter wants to know if the story about us spending Russia to collapse is a true one, given Moslers point that govts never have to raise money. This is a very insightful question really and Moslers answer is very illustrative of how MMT does analysis. The reporter is essentially saying if its true that govts cant run out of money how did Reagans strategy work. Why did Russia "run out of money"? Mosler says they ran out of real resources to continue to supply countries within its sphere of influence and he talks about why Americas strategy worked and where it was different.
His discussion of what trade deficits mean and how we should and should not handle them is interesting as well.
He gets in a great dig at the finance sector at about the 7:10 mark as he discusses how a service economy can and should fit into the world economy.
He talks also about how our "great" economy of the 2000s (low unemployment and good growth) got that way.....
..........on the back of PRIVATE debt. He talks about how that growth is possible out of income and a shrinking private debt.
He goes into the talks about China and their currency and shows why its misguided as well.
Lots of good stuff and I'll just let you link to it, watch, and hopefully enjoy and discuss.
http://www.youtube.com/...