What is Modern Monetary Theory (MMT)? [My Two Cents]

A Pocket Guide To Modern Monetary Theory and Why It Matters

• Part 1: The Financial System Laid Bare
• Part 2: What is Modern Monetary Theory (MMT)?
• Part 3: What MMT Means For You, Bitcoin, and the Future of Our Economy

Hopefully, you read Part 1 and now have a strong grasp on the foundations of our financial system. Part 2 builds on that foundation. It’s all about Modern Monetary Theory (MMT). MMT is the modern evolution of our financial system and pretty accurately describes the philosophy to which Central Banks and governments have ascribed for the last twenty years. As you’ll come to understand, and as Epsilon Theory so aptly states: We’re All MM’ters Now.” The consequences of this will reach beyond the dollar to cryptocurrencies, financial markets, and politics.

In a few words, MMT is founded on the understanding that as long as a government is printing and managing its own money and doesn’t have debt issued in the currency of another country (more on this later), the country won’t ever have to worry about running out of money. It can just print…