Here are the answers with discussion for this Weekend’s Quiz. The information provided should help you work out why you missed a question or three! If you haven’t already done the Quiz from yesterday then have a go at it before you read the answers. I hope this helps you develop an understanding of Modern…
The Weekend Quiz – July 20-21, 2019
Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.
Quiz #539
- 1. For nations enjoying strong terms of trade (and external surplus), it is sensible for the government to run fiscal surpluses and accumulate them in a sovereign fund to create more space for non-inflationary spending in the future.
- False
- True
- 2. A sovereign national government, that is, one that issues its own floating currency faces no solvency risk with respect to the debt it issues.
- False
- True
- 3. It would be impossible for a central bank to directly purchase treasury debt to facilitate the national government's fiscal deficit while still targeting a positive short-term policy rate.
- False
- True
Sorry, quiz 539 is now closed.
You can find the answers and discussion here
Yay! Three outa three! Back in the black! Look out you neolibs!
100% – yay
3 out of 3. =)
Can you explain why question 2 is false please? I thought the whole point was that sovereign governments cannot run out of their own currency.
How do I access previous blog posts and quizzes? sorry if that is a dumb question but I’m just a newbie to blogs.
I’m reading Nomi Prins, Collusion, How Central Bankers Rigged the World, and will have a lot of questions about banking and what if anything MMT knowledge can do to help us recover control. I just found Bill’s Training talk in UK and am studying that for a presentation on MMT in September at our local Transition Towns group.
I am looking for how MMT would work in a small exporting nation, which used to be a Welfare State until neoliberal economics infested the minds of the business, Treasury, and politicians. The very people who benefited from our free tertiary education ended it, but I will spare you the rave.
Is there anyone else from NZ following Billy Blog and MMT? Would love to discuss how aspects of MMT would apply or not to NZ.