Modern Monetary Theory
A monetarily sovereign government is the monopoly supplier of its currency and can issue currency of any denomination in physical or non-physical forms. As such the government has an unlimited capacity to pay for the things it wishes to purchase and to fulfill promised future payments, and has an unlimited ability to provide funds to the other sectors. Thus, insolvency and bankruptcy of this government is not possible. It can always pay.
Stephanie Kelton – The Angry Birds Approach to Understanding Deficits in the Modern Economy (1 hour 18 mins)
