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Oh no completely independent - of course. They`d soon get their marching orders in they didnt toe the line.- as i pointed out they dont have independence by the 1998 Act "The Monetary Policy Committee (MPC) is made up of nine members – the Governor, the three Deputy Governors for Monetary...

Why is that word salad? What you mean is you cant argue with me because you dont have an argument. The government does set interest rates via the Bank of England monetary committee who are agents of the government. According to The Bank of England Act 1998, the Bank of England is part of the...

Nothing like a reasoned response - oh and what is the connection with "lettuce lady economics"

I agree with the OFGEM comments but the government is not short of money because it is the monopoly supplier of the pound and can never run out, go bust. borrow its own money, throw our grandchildren to the wolves because of the interest rate , which it sets, or any of that doom laden nonsense...

I do rememberr the 70s and that resource shortage was oil. All resources are limited and that and inflation are the limits to government expenditure and not income from tax. I was answering your originaI question on how do we pay for government spending - and the answer is we dont have to. I...

Firstly, I`m not sure if there is a shortage of train drivers globally (although another poster points out problems on LNER) - train some more? Fruit pickers there seem to be (maybe pay them more?) I disagree with your definiton of inflation. A one off increase in price is not infaltion...

The money comes from key strokes on a computer not tax. Inflation results when there is a shortage of real resources. As a country we ar not in that postion. To paraphrase Keynes - "what we can do we can afford"

I`ve never said that. A nation with its own currency can spend as much as it likes but is limited only by the physical capacity of the economy in terms of real resources and inflation.

The counttry can "afford" whatever it likes. The only limits are real resources and inflation.

So what? The deficit is merely the difference between the money government has spent into the economy and that clawed back in tax. The UK is a self-funding state. It creates money by spending. Whether its £3 billion a year to give food to starving kids - or the £40 billion a year hand out to...

This is not an opinion piece about what should happen, but a description of how the Treasury works now and has done for years. The government always spends by "printing" money, then destroying money by taxation. The paper is a descriptive analysis based on thorough research on the workings of...

This is what has happened for years,, inflation has risen and fallen due to other factors, not because of the governments ability to create money when it spends and destroy it when it taxes.

Thanks for broadly agreeing, but one point, the government doesnt have to "borrow" at all in the sense that a household does. The issuing of gilts, bonds, whatever you like to call them, also is a policy choice which the treasury and the Bank of England use to control the money supply. They...

Its not a theory you "have a go at". Its a theory that explains the functionings of our economy right now. Its politically neutraI and can be used by politicians of any persuation. I doubt if Lynn Truss has any more of clue about MMT than I suspect you do.

So what? I agree with the UCL working paper, "The Self Financing State", (https://www.ucl.ac.uk/bartlett/public-purpose/publications/2022/may/self-financing-state-institutional-analysis), and I quote "There is no requirement for a provisioning of money balances through taxation and ‘borrowing’...

Well, actually you dont need the money from anyone, rich or poor. The government can issue new money to pay for the resources it needs to meet public purpose. A currency issueing government is not like a household. If the government wants to improve public services it can do so within the real...

In what way ignorant? Do you believe tax funds government expenditure? If so, why?

I agree with most of this. However, the purpose of tax is not to raise income for government spending. The rich should be taxed because they are too rich - we dont need their money to fund anything.

Harry, you misrepresent the MMT position which I have explained at length in other threads. Government finances are not like a household. Central government creates new money every time it spends. Tax is the return of some of that money to the treasury which is then destroyed. Tax does not...

How do you define the "far left" ? What are these issues to which you refer, and what are these long standing conspiracy theories? A link to the article would be useful