‘Full Money’ (Vollgeld in German) is similar to the 100% Money proposal, in that the direct link between money and credit is broken and the power to create new money is invested solely in the central bank. Assuming “the monetary system is unmistakably part of the common legal order” and not just “the operation […]

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In 1935 during the worldwide Great Depression, economist Irving Fisher published a proposal for 100% Money, meaning one hundred per cent backing of bank deposits with central bank money (Fisher, 1935: for the history of Fisher’s proposal and his political strategy see Allen, 1993). This is also known as the Chicago Plan, because it was […]

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Modern Money Theory (MMT) essentially proposes an excessive and unlimited expansion of national debt in order to combat recession. Thus the economy can be re-stimulated at any time – in a Keynesian fashion – in order to avoid looming deflation and recession. In contrast to the attitude of liberal and conservative economists, promoters of this […]

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