Modern Monetary Theory

Modern Monetary Theory, Modern Money Theory (MMT), or Modern Monetary Theory and Practice (MMTP) is a macroeconomic theory and practice that sees the practical uses of fiat currency in a public monopoly from the issuing authority, normally the government's central bank.Modern Monetary Theory (MMT): A General Introduction. Political Economy - Development: Fiscal & Monetary Policy eJournal. Social Science Research Network (SSRN). Accessed 10 April 2020. 

MMT says that the government could use fiscal policy to achieve full employment and money creation to fund government purchases.

References

Category:Economic theories