The United States government is, yet again, facing a budget crisis. Government funding is set to expire on December 3, 2021 and Congress has a deadline of December 15 to raise the debt ceiling. Otherwise, the U.S. will default on its debts, and a worldwide financial collapse becomes a possibility.
Modern Monetary Theory (MMT) is part of the reason these crises — not to mention inflation — are becoming more common. It theorizes that because modern states control currency and have the power to levy taxes, they can print as much money as they want.
Addressing the debt ceiling may have been pushed further down the road, but the root causes of America’s debt crisis need urgent attention.