My idea was essentially proposed by major mainstream economists in 2013

Yes, I haven’t updated this blog in more than 2 years. Still, I thought I’d just post this for the record now before I forget forever. Back in 2013, Michael Woodford and Adair Turner proposed policies very similar to what I have proposed recently:

http://www.voxeu.org/article/helicopter-money-policy-option

Particularly, this paragraph from Turner seems extremely similar to my own policy proposals:

“Under the Outright Monetary Financing approach that I propose, by contrast, the scale of money financed fiscal deficits would be clearly determined in advance by an independent central bank. The fiscal authority would decide how to spend the money (the balance between tax cuts and public expenditure): but the central bank would determine the amount of permanent money finance, consistent with an appropriate inflation or money GDP target. And it would do so as an independent central bank, and through the same decision making processes which govern the use of other monetary-policy tools.”

Likewise, in my post “Thinking the unthinkable – a proposal for demand management”, which was posted in the summer of 2012, I said:

“. Instead, a fully independent and non-partisan committee (like the FOMC, perhaps even the exact same people) should decide on a specific quantity of government spending that is to be financed by brand new money rather than by debt or by taxes … in accordance with some rule or target.”

I wonder, did Adair Turner somehow come across my extremely obscure blog at some point prior to 20th May 2013? 🙂

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