Comment: More Austrian Economics Hijacking

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More Austrian Economics Hijacking

Many here may remember Newt's favorite president, FDR. His namesake, the Roosevelt Institute, promotes Modern Monetary Theory - MMT. In the textbook world MMT makes academic sense, but in the real world it would be an unmitigated disaster. The implementation of MMT ideas would result in massive government spending and massive taxes. A totalitarian government would be necessary to collect the confiscatory level of taxes required to keep the whole thing afloat. MMT ideas are being pushed at many levels. Fox Business/Fox News is providing a platform for them.

As I pointed out in a previous comment, there is an ongoing effort to link MMT ideas to the growing popularity of Austrian economics. Here is a new one from this week.

The insights of the early Austrians united contemporary economic theory with the reality of human behavior. MMT ideas lack the very same crucial ingredient that was lacking in the area of economic thought at the dawn of Austrian economic theory. They do not account for human behavior in the real world. Expect more attempts to toss dangerous ideas on the Austrian bandwagon.

“None are so hopelessly enslaved as those who falsely believe they are free.” – Goethe