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MMT suggests that taxation can be used to fight inflation. What would be an argument against this suggestion?

One problem with raising taxes to combat inflation is that the increased tax rates really don't translate into much, if any, additional revenue for the government. This is for three main reasons. ...
Aristocratic Jack's user avatar
2 votes
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MMT suggests that taxation can be used to fight inflation. What would be an argument against this suggestion?

The standard economics story, as I understand it, is that deficit spending increases inflation because it is increasing demand chasing limited supply. Yes this is more or less correct. In standard ...
1muflon1's user avatar
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Why didn't M1 grow much during 1970s inflation?

I think we are looking at 2 different charts. 1960-1970 the money supply went from 140 billion to 200 billion. A 42% increase. 1970 to 1980 the money supply went from 200 billion to 385 billion. A 92% ...
Questor's user avatar
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Why didn't M1 grow much during 1970s inflation?

Inflation does not necessarily depend on M1 but broader monetary aggregates. Standard monetary aggregate in inflation research is M2, M1 is rarely used and it is irrelevant here because it does not ...
1muflon1's user avatar
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