The Deficit Myth

Modern Monetary Theory and the Birth of the People's Economy

By: Stephanie Kelton

Narrated by: Stephanie Kelton

A New York Times Bestseller

A “clear and vigorously written book” (Foreign Affairs), from the leading thinker of modern monetary theory, that delivers a bold new understanding for how to build a prosperous society

Myths about deficits have long hobbled us as a country. Supporting the economy, paying for healthcare, creating new jobs, preventing a climate apocalypse: How can we pay for it all? Leading economic thinker Stephanie Kelton, shows how misguided that question is. Rather than asking the self-defeating question of how to pay for the crucial improvements our society needs, Kelton guides us to ask: Which deficits actually matter?

Stephanie Kelton’s brilliant exploration of modern monetary theory (MMT) dramatically redefines how we can responsibly use our resources, giving us the power to move from a narrative of scarcity to one of opportunity and maximizing our potential as a society.

Critic reviews

"In a world of epic, overlapping crises, Stephanie Kelton is an indispensable source of moral clarity. Whether you're all in for MMT, or merely MMT-curious, the truths that she teaches about money, debt, and deficits give us the tools we desperately need to build a safe future for all. Read it--then put it to use."—Naomi Klein, author of On Fire: The Burning Case for a Green New Deal

"Stephanie Kelton convincingly overturns the conventional wisdom that federal budget deficits are somehow bad for the nation. ...Kelton argues that our government's inability to provide for citizens isn't due to a lack for money; instead, our leaders lack political will."—Farhad Manjoo, The New York Times

"Clear and vigorously written book."—Foreign Affairs

"She has succeeded in instigating a round of heretical questioning, essential for a post-Covid-19 world, where the pantheon of economic gods will have to be reconfigured."—The Guardian

"Kelton and her colleagues have brought a great many non-economists into the economic conversation in a way that no other contemporary branch of heterodox economics has been able to....[Sh]e's dead right about a central political fact of our times: A large, active public sector is more needed today than ever, and unfounded fears of public debt are a big reason we haven't gotten it. Which means her eloquent, accessible book is performing an important public service."—The American Prospect

"A robust, well-reasoned, and highly readable walk through many common misunderstandings. A 'must-read' for anyone who wants to understand how government financing really works, and how it interplays with economic policy."
—Frank Newman, former deputy secretary of the Treasury

"Kelton certainly offers food for thought at a time when governments are spending eye-watering sums to mitigate damage from the coronavirus pandemic."
—Spear's Magazine

"Stephanie Kelton is among the most prominent of the dozen or so economists associated with MMT. Her new book The Deficit Myth is intended to bring MMT to a broader audience. In addition to an impassioned call for a bigger, more active public sector, The Deficit Myth contains a number of distinct economic arguments."
—The American Prospect

"The big thing she gets right is in the way she structures her book around our current beliefs. In addressing our current understanding of how the world works - interpretations she identifies as myths - Kelton leads us step-by-step towards a new understanding of how federal spending works."—Inside Higher Education

you won't be the same

1. taxes don't fund the government
2. taxes are used to control inflation
3. a progressive tax is used to diminish influence
4. a jobs program would provide billions of hours toward the public good
This would solve most of our current problems

Enlightening economic knowledge.

I listened to the Audible version and was pleased to admit that the author made it crystal clear. This is a turning point for our time.

Understanding of how a fiat currency should work.

Stephanie Kelton clearly shows how a fiat currency is supposed to work and how it does work in the United States when it comes to supporting wars, corporations, big business etc. but sadly the people's America has not woken up to force Congress to think of the needs of the people in the same way.

A must read book

It will change your view of the eco and your bet in the stock market.
The financial world will be totally different after you finish this book.

MMT, an idea whose time has come (hopefully!)

Effort is required to hear, understand, and accept the monetary approach presented here.

BUT, when the light goes on, it powerfully illuminates both the outmoded, imprisoning, effects of traditional thinking about money and deficits, AND the liberating, humane alternative.
Highly recommend!