“The state sets the terms of exchange for its currency with the prices it pays when it spends, and not per se by the quantity of currency that it spends.” EconomicsInflationMacroeconomics Book:Modern Monetary Theory: Key Insights, Leading Thinkers Source: Modern Monetary Theory: Key Insights, Leading Thinkers
“Demand originates with the state. Without state spending, the value of the currency is unspecified and there is no aggregate demand. Only subsequent to state spending can the currency obtain absolute value and non-government spending take place.” EconomicsInflationMacroeconomics Book:Modern Monetary Theory: Key Insights, Leading Thinkers Source: Modern Monetary Theory: Key Insights, Leading Thinkers