Liberals Abuse Economics Because they are Anti-Science.

I'll explain it to you....

Keynes comes up with General Equilibrium this is an equation that says production chases consumer demand, inevitably production overshoots and consumer demand falls, leaving idle production until inventory falls.

So..when consumer demand falls, add to government demand and you can balance out the cycle.

Liberals abused this and just kept increasing government demand every year and running deficits. (Keynes would have assumed periods of surplus that balance out).

Then Friedman and Hayek thought up monetary policy.
M*V = P*O
If Output slowed down, increase money or velocity (lower interest rates) to increase demand. Prices would be stable when M increases aligned with increased output.

Liberals abused this and just kept increasing Money and lower interest rates every year.

So, we've reached the point where Keynesian theory no longer is effective, and now we've reached the point where monetary policy is no longer effective.

So now...they are claiming Modern Monetary Theory is the new paradigm.

In Modern Monetary Theory...
1. Money is no longer a store of value.
2. Money creates demand [and thus debt as a drag on output can be overcome by handing out Money.]

Your entire life, you considered money 'A Store of Value'. That is money had a 'time value' (the interest rate that was paid on capital).

Liberals are in the process of destroying that. It means you can no longer hold money, it will have no value over time, and you better get your saving out of dollars into hard assets like real estate or precious metals (or successful businesses).

And on the flipside, now to a liberal, let's say you have 100K in college debt. Guess what...you can't buy a Mercedes if you are paying off a loan. We print money, cancel your debt and BOOM we sold a Mercedes and increased demand.

That is how they see it. Your savings is cash is a constraint on demand. They just want to jimmie demand.

That is what they are doing. Will it work? Not in the long run. Just like Keynesian/Monetary...MMT will falter, but not until those extra dollars are no longer an effective stimulus GLOBALLY. That is the big secret...those dollars not being used in the US economy, they are drivers of development in Asia now. Until that goes bust, they will proceed with their plan.

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Good Luck with your future, I've explained it to you now.