Both Modern Monetary Theory and Stock-Flow Consistent models can be grouped within a broad tent of economic thought that is known as post-Keynesian Economics. I will usually drill down to more specific schools of thought, but it can be useful to have a bigger picture.
- My review of Marc Lavoie's Post Keynesian Economics.
Stock-Flow Consistent Models -- Theory
- What Are Stock-Flow Consistent Models?
- Primer: Understanding Stock-Flow Norms.
- Finding the Solution of a Simple SFC Model
- Solution Techniques For SFC Models
- When Should The Budget Be Balanced?
- Why Interest Payments Do Not Pose Fiscal Risk
- Why A Hard Debt Limit Is A Very Bad Idea
- Fiscal Policy Trade-Offs: Interest Costs
- Modelling Fiscal Expectations In SFC Models
- Supply Creates Its Own Demand: Government Bond Edition
- Using Stock-Flow Norms To Explain Secular Stagnation , Part 2
- Why Japan's current account deficit has not caused a collapse.
- Monetary Economics: An Integrated Approach to Credit, Money, Income, Production and Wealth, by Godley and Lavoie, (Amazon affiliate link) is an excellent introduction to the topic.
- The Stock-Flow Consistent Approach: Selected Writings of Wynne Godley (Amazon affiliate link). This is a set of articles by Wynne Godley. Gives examples of application to contemporary issues.
Modern Monetary Theory
Analysis of government financial operations are an extremely important part of MMT, my articles on government financial operations are grouped in this (sub-)theme article.
- A Quick Chartalism Primer
- Analysing bonds as a reserve drain.
- Why rich countries should float their currencies - a discussion of the "external constraint".
- (Don't Fear) The Taper - why Quantitative Easing is ineffective.
- Understanding Central Bank Control of Interest Rates
- Consequences of a Basic Income Guarantee - contrasted to MMT's Job Guarantee.
- MMT not "Modern" -- cleaning up misconceptions about the name.
- Mike Norman Economics. MMT article link hub.
- Eric Tymoigne's free book on money and banking
- Warren Mosler's site. (Has links to free electronic copies of some of his books.)
- Bill Mitchell's site.
- Alex Little's MMT Bibliography
My eReport: Understanding Government Finance is an introduction to governmental monetary operations. It could be viewed as an introduction to MMT, although it does not attempt to cover all of the areas of interest in MMT. It is available at online retailers; the product page is here.
- Soft Currency Economics II: The Origin of Modern Monetary Theory (MMT - Modern Monetary Theory) (Volume 1) (affiliate link) by Warren Mosler. (He may have a pdf version on his website.)
- The 7 Deadly Innocent Frauds of Economic Policy (affiliate link) by Warren Mosler again. (Once again, pdf may be available on his website.)
- Understanding Modern Money:The Key to Full Employment and Price Stability (affiliate link) by Randall Wray. A historically-oriented introduction to MMT.
- Modern Money Theory: A Primer on Macroeconomics for Sovereign Monetary Systems (affiliate link) by Randall Wray. I will note that I have not read this; I base my recommendation based on his other writings.
- Diagrams & Dollars: Modern Money Illustrated (affiliate link) by J.D. Alt. A graphical, easy-to-understand introduction to MMT in an inexpensive ebook format.
(c) Brian Romanchuk 2013-2015