Blog - Philosophy of Money

Functional finance and fiscal rules – a synthesis (Part II)

5th November 2018

Definitions of Money, Helicopter Money, Monetary Policy, Theory & Other Problems

Introduction A curious argument has broken out over the Labour’s proposed fiscal rule. Some advocates of functional finance, in particular, have been vociferous in their criticisms. There is scope for a consid...

MMT and fiscal rules (part I) – a prologue

Eric Lonergan

28th October 2018

Definitions of Money, Monetary Policy, Theory & Other Problems

11

When I explained the essential tenets of Modern Monetary Theory (MMT) to Ben Bernanke, over dinner in Washington, he replied somewhat quizzically, “Isn’t that just economics?” In fact, on the accounting treatme...

Why is universalism losing?

Eric Lonergan

12th October 2018

Theory & Other Problems

5

There is a tension in all enlightened ‘identity politics’. How do we combat discrimination without accepting the premise that there is significant difference? And how do we promote universalism without denying ...

Central bank ‘equity’ debunked

Eric Lonergan

23rd August 2018

Definitions of Money, Helicopter Money, Monetary Policy

17

The equity of a corporation is the difference between its assets and liabilities. Under typical accounting practice for central banks, transferring cash directly to households would result in a decline in their...

Defining Emerging Markets

Eric Lonergan

9th August 2018

Austerity, Finance & Asset Pricing, Monetary Policy

9

Emerging markets are not poor countries, nor are they countries which are making economic progress. They are defined by a very specific set of macroeconomic properties, which financial markets are conscious of,...

How Europe works

Eric Lonergan

10th June 2018

Austerity, Money in Europe

1

This time it's Italy I used to believe that the Eurozone was undemocratic. Now I'm not so sure. The simple view is that national electorates have been neutered. When Greece votes to reject austerity, its gover...

A human life is more than a collection of cells

Eric Lonergan

18th May 2018

Sample Of One

Legal reform is a moral obligation This is not one of my typical blogs, and many of you will be surprised to receive it. It is also significantly based-on, and influenced by, discussions with my 18-year old da...

An intellectual virus, a bubble, or both?

Eric Lonergan

27th April 2018

Finance & Asset Pricing, Theory & Other Problems

The recent phase of market volatility precipitated by the February 2018 ‘flash crash’ has morphed into fears of a growth slowdown, phoney Trumpian trade wars, and real wars. But the initial crash itself may be ...

If you don’t like trade deficits – tax the rich?

Eric Lonergan

12th April 2018

Austerity, Economic History, Money in Europe, Theory & Other Problems

1

Has the word ‘deficit’ done more damage than any other in economics? Deficits are bad, surpluses are good. In economics, nothing could be further from the truth. How can there be virtue, if every virtuous act r...

More on post-interest rate monetary policy

Functional finance and fiscal rules – a synthesis (Part II)

MMT and fiscal rules (part I) – a prologue

Why is universalism losing?

Central bank ‘equity’ debunked

Defining Emerging Markets

How Europe works

A human life is more than a collection of cells

An intellectual virus, a bubble, or both?

If you don’t like trade deficits – tax the rich?

Reviews of Eric’s book

CNBC: market sell-off is ‘noise’

Monetary policy & babysitting: why rates are so low, and ‘what’s next?’