Last week we reported on the increasing prevalence and general acceptance of Modern Monetary Theory in, Governments Aren’t Afraid of Debts and the libertarian-leaning American Institute for Economic Research has followed up with a highly informative article outlning some of what they beleive to be critcial elements, and failings of the theory.
The fact that MMT is being so widely embraced by the current US administration, and many other ‘floated currency governments’ around the world, may help outline why the matter is becoming such an actively reported hot-button topic.
Regardless of the long-term viability of the model, it is being applied with increasing vigour around the world as nations struggle to keep economic activity somewhat engaged in the face of Covid-induced devastation of industrial output and general economic activity. This leads us to believe that the coming commodity supercycle is even more likely that pre-COVID signals had suggested. Read more…
Chart of the Day
Barry Bannister Stifel Head of Institutional Equity Strategy joins the On the Move panel to discuss how COVID-19 is impacting the market.