Modern Monetary Theory

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Monetary policy - unconventional monetary policy.

(MMT).

MMT is an unorthodox economic theory that suggests that central banks and policy makers can be relatively relaxed about government deficits and borrowing levels.

The reason being, in simple terms, that they can create more fiat money without any theoretical limit.


As a consequence, under MMT, monetary and fiscal policy should focus primarily on full employment and price stability.


See also