Climate Crisis

The scope of MMT work in support of the climate movement proves that the climate movement finds a natural economic ally in MMT Modern Monetary Theory highlights that almost all nations have more fiscal space (AKA government spending power) than they currently use. This simple observation supports the climate movement's demand for stronger government action, particularly from governments in the Global North. MMT's support for stronger climate action is both historic and broad. Below are twelve examples of the connection between MMT and the climate movement. The scope of MMT work in support of the climate movement Finding The Money [...]

Assuming that governments are financially constrained—rather than resource-constrained—stymies the climate response. Given the urgency with which states must mobilise to mitigate and adapt to the ecological crisis, we must develop and share a better understanding of government finances if we are to secure a prosperous future. Economist Stephanie Kelton uses the phrase ‘learned helplessness’ to describe the self-imposed, ideological constraints that governments that issue and tax in their currency, have minimal foreign currency debt, and operate a floating exchange rate, place on their spending. Nowhere is this more obvious than in state action to mitigate and adapt to our ecological [...]