Kooperatibaz, bi hitz

Bi hitz, besterik ez!

(a) The myth of Mondragon (berrirakurri behar)

https://libcom.org/files/The%20myth%20of%20Mondragon%20Cooperatives,%20politics,%20and%20working%20class%20life%20in%20a%20Basque%20town.pdf

(b) Chasing Utopia: Worker ownership and cooperatives will not succeed by competing on capitalism’s terms

In Britain and the 1970s oil shocks – the failure of Monetarism¹

“The stylised textbook model of the banking system isn’t remotely descriptive of the real world.

Modern Monetary Theory (MMT) provides a detailed understanding of how banks operate.

Private banks do not wait for depositors to provide reserves before they make loans. Rather, they aggressively seek to make loans to credit worthy customers in order to profit.

These loans are made independent of a bank’s specific reserve position at the time the loan is approved. A separate department in each bank manages the bank’s reserve position and will seek funds to ensure it has the required reserves in the relevant accounting period.

They can borrow from each other in the interbank market but if the system overall is short of reserves these transactions will not add the required reserves.

In these cases, the bank will sell bonds back to the central bank or borrow from it outright at some penalty rate.

At the individual bank level, certainly the ‘price’ it has to pay to get the necessary reserves will play some role in the credit department’s decision to loan funds.

But the reserve position per se will not matter.

For its part, the central bank will always supply the necessary reserves to ensure the financial system remains functional and cheques clear each day.

The upshot is that banks do not lend out reserves and a particular bank’s ability to expand its balance sheet by lending is not constrained by the quantity of reserves it holds or any fractional reserve requirements that might be imposed by the central bank.

Loans create deposits, which are then backed by reserves after the fact.

These conclusions are devastating for mainstream economics and undermine the Monetarist claim that the central bank controls the money supply.”

Gehigarriak:

Ikus:

(a) MMT comes to the rescue… (DTM erreskatera dator…)

Erlazio horizontalak eta bertikalak:

“It would help to read this blog – Deficit spending 101 – Part 3– where a detailed analysis of what modern monetary theorists refer to as the horizontal relations in a monetary system is presented. We distinguish the horizontal dimension (which entails all transactions between entities in the non-government sector) from the vertical dimension (which entails all transactions between the government and non-government sector).

In simple terms, the horizontal dimension is equivalent (totally consistent) with the (properly accounted for) circuit theory and endogenous money models.”

(b) Modern Monetary Theory – Wikipedia, the free encyclopedia

1 Ikus http://bilbo.economicoutlook.net/blog/?p=33160.