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  5. A Skeptic's Guide to Modern Monetary Theory

AEA Papers and Proceedings

ISSN 2574-0768 (Print) | ISSN 2574-0776 (Online)

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A Skeptic's Guide to Modern Monetary Theory

  • N. Gregory Mankiw
AEA Papers and Proceedings
vol. 110, May 2020
(pp. 141–44)
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Abstract

This essay discusses a new approach to macroeconomics called modern monetary theory (MMT). It identifies the key differences between MMT and the approach found in mainstream textbooks. It concludes that while MMT contains some kernels of truth, its most novel policy prescriptions do not follow cogently from its premises.

Citation

Mankiw, N Gregory. 2020. "A Skeptic's Guide to Modern Monetary Theory." AEA Papers and Proceedings, 110: 141–44. DOI: 10.1257/pandp.20201102

Additional Materials

JEL Classification

  • E52 Monetary Policy
  • E62 Fiscal Policy