Responsible Fiscal Policy through Functional Finance IS Possible
On April 18 2016, Brookings Institute hosted "the Initiative for Policy Dialogue (IPD) and the Foundation for European Progressive Studies (FEPS), in partnership with the Global Economy and Development program", hosted a public discussion on “How can fiscal policy be growth-promoting and an anchor for macroeconomic stability?” They featured remarks by my favorite economists; Joseph Stiglitz, Massimo D’Alema, Jason Furman, Stephanie Kelton, and Ralf Stegner. The panel was chaired and moderated by Brookings Global Vice President Kemal Derviş. The webpage open:
"Fiscal policy has proven to be an effective way to stabilize macroeconomic growth and reduce the amplitude of the economic cycle. When used repeatedly, or excessively, however, it can lead to high levels of public debt that can undermine expectations of macroeconomic stability and so reduce or reverse the impact on growth. Getting the balance right is therefore critical in designing an optimal fiscal policy to support long-term growth." [Brookings]
Fiscal policy is currently restrained by our Privateering Private Banking System, moderated by Central Banks who govern the money supply in the interest of the private banking system -- and of "monied interests" who often wield massive power through their control of credit and ownership of properties directly or indirectly through debt.