Another week, another Q&A. You know the process by now. Anything goes. I’ll get around to the answers by Monday hopefully….
I’ll start it off with Jason’s questions:
1. Is a government surplus (monopoly supplier) ALWAYS bad, i.e. lead to an imminent recession? I think this is the MMT thought process, but not sure if MMR feels the same.
2. Is Japan FUBAR? Sure their debts are high, but they are a monopoly supplier. Is their aging population and need to seek outside lenders going to kill them? Can the BOJ just make up some new rules and buy all the bonds and keep rates low forever?