Forum Thread

Cartoon video to help you understand the net-sectoral balance approach adopted by MMT

• Carlitos

  2013-01-08 10:06:44 AM

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  Carlitos

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  The government's deficit/debt is DIRECTLY equal to the non-government's surplus/savings.
  
  It's a simple account identity.
  
  govt balance + domestic balance + foreign balance =zero.
  
  govt deficit=non govt (domestic + foreign) surplus
  
  At Youtube: A Closer Look at the Three Sectors' Financial Balances.
  
  Hope that's clear enough.
  
  In case you need further validation, here's a Joe Weisenthal interview at Buisness Insider with Goldman Sachs' top economist discussing net-sectoral balances:
  Goldman's Top Economist Explains The World's Most Important Chart, And His Big Call For The US Economy.
  
  Wall Street gets it. Progressives are playing catch-up.
• unitedmajority

  2013-01-10 05:30:53 AM

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  govt deficit=non govt (domestic + foreign) surplus
  
  I guess this formula would make sense in a communist country, but where the people are the government, it adds up to zero sense. Of course Wall Street worships this formula, it is what keeps them profitable at the majority's expense and deficit, remember, the majority is the one stuck with the bill but the majority does not profit from this formula, only a few elite members profit, yes you will find some on Wall Street.
• Carlitos

  2013-01-10 09:43:17 AM

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  Carlitos

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  I guess you like recessions and having millions of people unemployed.
  
  My point about Wall Street is that they are lying to us.
  
  "The financial sector is a lot more trouble than it is worth."-Warren Mosler
• unitedmajority

  2013-01-11 04:49:55 AM

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  Carlitos Wrote: I guess you like recessions and having millions of people unemployed.
  
  My point about Wall Street is that they are lying to us.
  
  "The financial sector is a lot more trouble than it is worth."-Warren Mosler

  I know if we had a Republican President things for the majority would be far worse now. I know Wall Street is a joke for the majority too, by the way, what ever happened with the protest against Wall Street, is it still going on, it for sure could be, but our media stopped talking about that along time ago, since the media is controlled and owned by the ones being protested.