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How modern monetary theory questions the anxieties around debt

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Date

2025-11-29

Keywords

US national debt crisis, Modern Monetary Theory (MMT), Peter G Peterson Foundation critique, Stephanie Kelton economics, US dollar hegemony, debt to GDP ratio explanation, monetary sovereignty, Reinhart and Rogoff austerity, US China

Abstract (summary)

Recently, top economists and historians assembled by the Peter G. Peterson Foundation sounded the alarm on the $38 trillion national debt in the US. The debt amounts to 120% of the GDP. However, Modern Monetary Theory (MMT) would reject this framing.

Publication Information

Jahangir, J. (2025, November 29). How modern monetary theory questions the anxieties around debt. The Friday Times. https://www.thefridaytimes.com/29-Nov-2025/modern-monetary-theory-challenges-anxieties-debt

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