Interesting conversation but the debate needs another technical economist to counter his arguments, the panel is not adequately equipped to interrogate his ideas.
We don't even have gold reserves and the NSE gets absolutely wiped every time Kenya holds general elections. Artificially printing more money would probably launch one of the largest investor flights in Kenya's history. I mean, America can print all the USD it wants because, the USD is the World Reserve Currency, they have the largest gold reserves of any country on the planet, they have one of the most powerful militaries on the planet and on top of all that, they are the leaders of the modern economy in terms of revenue generation. Investors feel incredibly secure in American investments and therefore the USD compared to any other country. We don't have that. We still have people living like it's 1000 BC in this country and randomly keep raiding villages like their ancestors 1000 years ago.
Even America is suffering because of inflation due to the printing of dollars. Today properties that used to cost as little as $50,000 in 1990 are going for between $240,000 and $340,000. This is because of Printed money inflation.
money is printed every day the central bank does this all the time via lending to banks, government and such then it charges interest, using a principal known as fractional reserve banking
@@silvershsadow2045 not really 50k in 1950s is equal to 240k currently. life is becoming more difficult because of corruption and there fore there isn't enough money for all. a few individuals have looted all resources and taken it for themselves that is why most people are finding it difficult to get jobs. Money that should be spent where it should is being embezzled. consider this if you invest in proper infrastructure you create employment. seal all the corruption loopholes
Ever time i see "experts" come to media to speak on something, I already have my B*s* sensor on high alert. This guy looks at what YUES is doing, and wants the country to do the same, when the dynamics between the two countries are worlds apart. Very useless "expert."
Money printing with extraordinary disciplinary measures can be very beneficial to us. Another way of looking at it is loaning ourselves our own money that we have created. This can definitely work. This guy is right. We have very smart people and we should be using them to run our country.
this is a VERY VERY VERY bad incredibly poorly thought idea, money does not exist in a vacuum; and cannot be willy nilly entered into the economy without a SOLID backing o economic growth, good and services all taken together.
This guy is right! The only RISK is unethical behaviour of policy makers and implementors. But for sure,his idea is money creation. Exactly what financial institutions do.
This is a true definition of thinking out of the box. Quite difficult to understand but necessary for us as a country if we want to move forward as a country. We've tried to do the same things the same way for too long expecting different results.
Yes just the news that 3 m young ppl will be employed in the next two yrs will boost the economy ,the western economy wishes they had the problems some African countries have.
I like your line of thinking. My only worry is do we have a moral government. I love the keynesian theory. My Economics serves me well.Bravo good thinking outside the box
This is not new. It's actually a theory in economics that developed after the gold standard was abandoned in 1971. It only works in tendam with GDP. So, the higher your export the higher your currency value hence the higher the demand for your currency. It's only then that you can print money to cover for the deficit in the local and international market. Don't compare Kenya with US, Japan, Germany or Britain. You have weak GDP you need Dollars. Not to print KSHS. this will lead to devaluation of KSHS and uncontrolled inflation since nobody outside kenya needs KSHS.
Wha!..the internet is truly your friend. In the age of the internet, not knowing is really not a viable excuse...MMT originates much earlier than "after the gold standard was developed in 1971." The rest of your comment regarding the MMT is understandably as inaccurate as its preamble lolz.
Indeed.This means we can use Structured Money Printing and target it toward to fund local production eg Agriculture, the creative economy etc. Thank you for your comment.
Essentially the government prints money via banks. So it has been privatized and only certain individuals benefit from it, not the citizens. Picture this, when borrowing 100m from a bank they just go behind a computer and press some buttons and boom numbers appear on your bank account. They then charge you interest (real money you working for in the economy) and still expect their fake money back. The government taxes you and then print more money which devalues the money you retain after taxation.
Good attempt to introduce and advocate MMT. With clarification, MMT is already the existing public financing framework. Gov does not Tax to Spend. Gov spends first then collects Tax. The total budget expenditure is automatically printed when the appropriations are approved by Parliament. Tax provides an accounting mechanism to monitor use of funds and circulation. For Kenya, the barriers to MMT are that it has significant borrowings in Forex and MMT can only be used to fund domestic spending i.e purchase goods and services produced and priced in KES.
Hi. I like your deep understanding of MMT mechanics. I say Printing as it gets more attention. If you are willing to champion MMT in your areas of influence then please inbox me your number.
If we need money for local exchange that is internally used in Kenya then we can print. For national development like paying local constructors to construct roads, water projects etc. That doesn't need external paying. I AGREE. I HAVE UNDERSTOOD YOUR POINT SIR.
Very interestingconversation.... accordingto me the problem here in our country is, we produce less ; export less while importing more which means money flows out of our country, 2nd many politicians "the corrupt ones" steal money and stores it in other countries which leads to less money in circulation, 3rd the government takes huge loans which are normally offered at high interest rates , 4th the government operates under IMF, The World Bank and other International Institutions which were primarily formed to ensure Africa will be perpetually in debt so that they can control us (Africans) to be in the same position of providing raw materials. African leaders should wake up.
We need economic stimulus for us to do the printing, create more jobs,create more projects, pay people, cut corruption...You must be however careful not to overprint...
I'm glad this issue can't go beyond radio, printing money (even quantitative easing) is very risky and in our circumstance may not work, if anything it will make things so much worse. Zimbabwe and Uganda did this very thing and the value of their currencies collapsed. The most common method for fighting inflation is raising interest rates to mop up excess liquidity. For Kenyas case, there is always a deficit. What we lack are the mechanisms for financing it. Fighting corruption will be helpful, Uhuru mentioned that 2 billion shillings is lost everyday that translates to over 700 billion which is more than a quarter of our budget. We need to look into this.
Great idea. I was actually thinking about that last week as far as Kenya's tax problem is concerned. Printing money via MMT is for money for the increase if productivity only..... not to pay debt. Why? Because when you print to pay debt or handouts, you just increase money supply and its inflationary, however if you print to boost productivity, you get an increased money supply but is met with a corresponding increased product to buy, and that's not inflationary. It just becomes the catalyst to increase productivity in the economy. Its increases GDP, created jobs in sectors that where dead because they had previously lacked "funding" Its only dangerous when the government prints to pay soldiers, teachers, bribes etc because these expenses don't increase productivity levels. But if its invested in farms for example, farms will produce more for people to consume. Because MMT creates money, that money gets to buy the increased productivity. MMT is purely for the facilitaton of stagnant productivity.
Judging by the other comments here I think our education system should change, people can't continue believing the cold war western propaganda which aim was to keep the economic order as it was
@@therealzondocommission728 Keep believing, some of us don't use faith we need real examples. Show us an example of a country other than usa which is the superpower that has successfully done this. I'd appreciate if it was a third world country 😅
@@mrman3363china, Korea, Japan, Europe however for it to work printed money should be used for infrastructure projects which will increase the economic output e g a hydro dams, manufacturing factories
Kabisa. I understood it. As long as, the people being paid are those who are going to spend it in Kenya. Trust me, we will employ Kenyan constructors to construct roads, etc.
Chinese yuan, Japanese, Euros, all developed countries print money whenever they want they just don't advertise and they are able to handle their inflation better
@@reubentv2948 if the political class are misappropriating our hard earned taxes, what about if they know money is printed to pay salaries, si wataweka ghost workers???!!
@@reubentv2948This is wishful thinking. Show me another country other than usa that has done this in the long term given that these guys are the super power, their currency is the world reserve currency, they are industrialized and are the leading inventors and innovators in the planet (btw countries like china and india just manufacture on a massive scale, but the usa has the patents and its largely their companies taking business overseas but they still own everything. I know that other countries also invent and innovate.) Even before they became the superpower they were still a major power. Try this in a third world country and suffer the consequences given that we still heavily rely on external investors.
@@locoiyad4798 🤣🤣 Aah, I see, taking the your not intelligent enough if you don't agree with me 😅 that's fine. Just show me a third world country where they don't significantly manufacture anything for export like Kenya where this has worked, am waiting. Everyone sounds like a genius on paper show me success in the practical world with an economy similar to Kenya 🤔
If the Kenyan government prints money to fund projects, it can lead to: 1. Inflation: Excessive money circulation can cause prices to rise, reducing the value of money. 2. Devaluation of currency: The Kenyan shilling may lose value against other currencies, making imports more expensive. 3. Economic instability: Excessive money printing can lead to economic instability, potentially causing a financial crisis. 4. Loss of trust: Over-reliance on printing money can erode trust in the government and the economy. 5. Hyperinflation: Uncontrolled money printing can lead to hyperinflation, making the currency nearly worthless. 6. Reduced purchasing power: As inflation rises, the value of money decreases, reducing the purchasing power of citizens. 7. Inefficient allocation of resources: Printed money may not be allocated efficiently, potentially leading to wasteful spending. 8. Dependence on printing money: The government may become reliant on printing money, rather than implementing sustainable economic policies. It's important for governments to maintain a balanced approach to financing projects, considering factors like economic growth, inflation, and fiscal responsibility.
After the issue what do you do with it? What will be the purpose of us working if that value will be printed at will? What will determine value if we can print it? What will the money do in the market? Whats that economic name and tested theory in money printing which is positive? We know of Uganda, Zimbabwe...
Let me help you, if you print to give people, they will be inflation because they will be more money chasing available goods. But, if you print "only" to lend to producers of goods, the market will have more goods produced to meet the increased money supply. But because that borrowed money, after selling, the producers will have to pay back the money and the money gets cancelled. Amen.
This theory is okay only where the constitution is strictly followed. Corruption is the problem. Just balance supply and demand, then remove corruption from the equation.
. This idea by Mwiti may seem wild...but -the debts in foreign currency we get all the time..how can we tell its not those countries printing and lending to us...they then insist on employing their own people in projects in our country..and solve their unemployment etc etc
Print the money,give affordable loans and incentives to local investors to produce all goods and services which we import.This will create several jobs then tax the employees.simple! For this succeed an anti-greed vaccine, tablets of integrity & syrup of patriotism ....is a must😂
You cannot produce all the goods and services which you import 😅😅 this doesn't even work for the most developed nations. Plus to get all the machinery from outside you can't buy it in shillings, 😅 that's not even factoring in the expertise needed that we don't have because the quality has to compete with imported goods.
It works and that's why China is able to build all those huge infrastructures which are unnecessary and loan money to African countries using their own currency
I think part of the problem is the factory owners. If people have more money to spend, why dont factories increase their production to match the demand. Why is it easy for them to hike up prices instead. Prudent governments would print money inject into the economy and use the same money to offer loans to producers to increase productivity to match the demand. Alternatively, they can be given tax incentives to enable them retain revenue for increased production. If we stick with economic books and theories of 1940s, we wont grow.
Yes, govt can self fund but only for productive means- infrastructure, manufacturing and agriculture. Not on assets like housing. Then it wont cause inflation. People will be employed , economy will BOOM! Taxes and domestic borrowing takes money out of the economy and stifles it. It wont happen because of who runs KENYA INC.
This is not the problem in the country. Kenyan leaders are looting public cofers and stacking it overseas and offshore. So there is very little money in circulation. The appetite to take the little left from the poor to loot makes me sad. If we make this country better for all makes the difference.
Kenyan government needs ro to own the largest banks to create money through cheap competitive percentages for development and creation of manufacturing, industrial,mining and energy sectors to employ more people.fewer private banks and independent banks are needed and no central bank
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget us allocated to the above projects Instead of financing the projects in taxed money , the government can print money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government.
Supply vs Demand = Thriving economy. How to stimulate this is the Kenyan Achilles heel. Railways that end midstream, roads that are washed each seasonal rainfall, big cars and mass unemployment became our new normal. Dubai has done it, SA is doing it. Tourism, Hype projects, Sport's do something, anything..hype hype hype..
central bank and not the government issues money, additionally why would government which doesn't have a commercial motive print money to fund commercial projects?
Let me shock you by informing you that the central bank is 100% state-owned..so we can argue all day that it is not the government but it'd be moot because the government appoints some of and controls its officials.
@@therealzondocommission728 First, we don't know that. We only that they printed money- like most countries are doing (including Kenya). We dont know the BTS economic foundations Printing money != MMT Secondly, even if we assume that was their foundation, it has resulted in the worst inflation in the US in modern times so not good at all
@@kiprotichsalat2460 I know man. But thats a war we cannot win. People believe too much in the government and like its spending sprees. I wonder what your school of thought is brother. It's very rare to meet a non-keynes
Bro, mkianza structured money printing na iyo idea Zakayo imuingie sasawa, mtajua hamjui. overnight printing and looting which will ground this economy in ways you have never seen. Avoid that conversation kabisa. That approach is only handled by leaders with high moral ground and integrity. You seem not to understand the Hyenas in this govt. You just don't know them well. Already background corruption going on is unprecedented and no journalist is focusing on that
A currency need not be a Reserve currency for MMT to work, the 2 are not correlations. All currencies are conjured instruments upon which citizens bestow "value"; on the other hand, the whole idea of MMT is that you create a currency/money to pay for goods and services and then scale any excess (inflation) through imposing taxes. This is the opposite of the current system where governments raise money through taxes, use it to pay for the same goods and services, and then whine that they don't have enough (deficits)...and then proceed to borrow more money and into debt, perpetually keeping economies in debt. But the bottom line, all you need is a currency for MMT...any currency.
That's because all your life you've been brain washed to believe that the Bretton Woods system is the only viable economic system. Consider in full the merits of of MMT before dismissing is as a joke.
@@stove7197 printing money doesn't make the underpinning economic theory MMT. Economic theory has to establish foundations and models around value, price, demand, supply, incentives and so forth. MMT as an economic foundation is basically cowdung. Kenya already prints money- this guy needs to explain how to keep the system stable in that environment
this guy doesn't make sense you can't tell people to print more money. the funniest thing i have heard today. money is not just paper. money should have value that matches the productivity of a country
I don't think you've understood the MMT at all. MMT does not consider money as paper, and neither is there any rule even in the current system that money must have "value that matches the productivity of a country".... what does that even mean lmao!
That's the problem of sectional focus..like on money printing or creation .... Ve' a holistic approach..he'd some good points u need to listen to, probably with some patience!!
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget is allocated to the above projects Instead of financing the projects in taxed money , the government can print more money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation is in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government😢.
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget us allocated to the above projects Instead of financing the projects in taxed money , the government can print money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government.
That is a fallacy, unless I was the president to oversee all the money printed to go towards development. Wewe si unajua Kenya venye Kuna wezi wengi in "suits"
Interesting conversation but the debate needs another technical economist to counter his arguments, the panel is not adequately equipped to interrogate his ideas.
Good Point
Very interesting topic but definitely doable
We don't even have gold reserves and the NSE gets absolutely wiped every time Kenya holds general elections. Artificially printing more money would probably launch one of the largest investor flights in Kenya's history. I mean, America can print all the USD it wants because, the USD is the World Reserve Currency, they have the largest gold reserves of any country on the planet, they have one of the most powerful militaries on the planet and on top of all that, they are the leaders of the modern economy in terms of revenue generation. Investors feel incredibly secure in American investments and therefore the USD compared to any other country. We don't have that. We still have people living like it's 1000 BC in this country and randomly keep raiding villages like their ancestors 1000 years ago.
well said
Even America is suffering because of inflation due to the printing of dollars. Today properties that used to cost as little as $50,000 in 1990 are going for between $240,000 and $340,000. This is because of Printed money inflation.
money is printed every day the central bank does this all the time via lending to banks, government and such then it charges interest, using a principal known as fractional reserve banking
@@silvershsadow2045 not really 50k in 1950s is equal to 240k currently. life is becoming more difficult because of corruption and there fore there isn't enough money for all. a few individuals have looted all resources and taken it for themselves that is why most people are finding it difficult to get jobs. Money that should be spent where it should is being embezzled. consider this if you invest in proper infrastructure you create employment.
seal all the corruption loopholes
Ever time i see "experts" come to media to speak on something, I already have my B*s* sensor on high alert. This guy looks at what YUES is doing, and wants the country to do the same, when the dynamics between the two countries are worlds apart.
Very useless "expert."
Money printing with extraordinary disciplinary measures can be very beneficial to us. Another way of looking at it is loaning ourselves our own money that we have created. This can definitely work. This guy is right. We have very smart people and we should be using them to run our country.
you can't print pieces of paper and have money. there will be a very bad inflation
Smart people are less that damn people in government.
this is a VERY VERY VERY bad incredibly poorly thought idea, money does not exist in a vacuum; and cannot be willy nilly entered into the economy without a SOLID backing o economic growth, good and services all taken together.
@@sandejzack I don't think you understood his point. He's not suggesting money to be just printed without anything backing it.
So what's the backing in a FIAT economy. The govt itself has lost the goodwill of the people.
This guy is right! The only RISK is unethical behaviour of policy makers and implementors.
But for sure,his idea is money creation. Exactly what financial institutions do.
This is a true definition of thinking out of the box. Quite difficult to understand but necessary for us as a country if we want to move forward as a country. We've tried to do the same things the same way for too long expecting different results.
My exact sentiments to a Central Banker recently
kibaki did it with vison 2030. It's all about money creation rather than money printing.
Yes just the news that 3 m young ppl will be employed in the next two yrs will boost the economy ,the western economy wishes they had the problems some African countries have.
Excellent topic and should be followed up vigorously.
Printing money for additional cash flow is a very bad idea. This government is too greedy for it to work.
The problem is the leadership way to greedy for any clever moves they just want to plunder.
its the most stupid idea lol
I like your line of thinking. My only worry is do we have a moral government. I love the keynesian theory. My Economics serves me well.Bravo good thinking outside the box
Your economics didn't serve you well. Keynesian theory has been the destruction of wealth and has led to the tyranny of government. Terrible economics
This is not new. It's actually a theory in economics that developed after the gold standard was abandoned in 1971. It only works in tendam with GDP. So, the higher your export the higher your currency value hence the higher the demand for your currency. It's only then that you can print money to cover for the deficit in the local and international market. Don't compare Kenya with US, Japan, Germany or Britain. You have weak GDP you need Dollars. Not to print KSHS. this will lead to devaluation of KSHS and uncontrolled inflation since nobody outside kenya needs KSHS.
Wha!..the internet is truly your friend. In the age of the internet, not knowing is really not a viable excuse...MMT originates much earlier than "after the gold standard was developed in 1971." The rest of your comment regarding the MMT is understandably as inaccurate as its preamble lolz.
The idea can only work if you are producer not an importer.
Indeed.This means we can use Structured Money Printing and target it toward to fund local production eg Agriculture, the creative economy etc. Thank you for your comment.
Chicken and an egg problem. How can you become a net exporter without first stimulating your industries
Essentially the government prints money via banks. So it has been privatized and only certain individuals benefit from it, not the citizens. Picture this, when borrowing 100m from a bank they just go behind a computer and press some buttons and boom numbers appear on your bank account. They then charge you interest (real money you working for in the economy) and still expect their fake money back.
The government taxes you and then print more money which devalues the money you retain after taxation.
money does not work like that, mmesoma wapi?
This is simply called QE. Quantitative Easing. They did it in the U.S. economy recently. Look where they are at now.
Hi. Thanks you for the comments. Is the US in a worse off state or better off because of QE? Kindly elaborate.
Good attempt to introduce and advocate MMT. With clarification, MMT is already the existing public financing framework. Gov does not Tax to Spend. Gov spends first then collects Tax. The total budget expenditure is automatically printed when the appropriations are approved by Parliament. Tax provides an accounting mechanism to monitor use of funds and circulation. For Kenya, the barriers to MMT are that it has significant borrowings in Forex and MMT can only be used to fund domestic spending i.e purchase goods and services produced and priced in KES.
Hi. I like your deep understanding of MMT mechanics. I say Printing as it gets more attention. If you are willing to champion MMT in your areas of influence then please inbox me your number.
Very insightful indeed
If we need money for local exchange that is internally used in Kenya then we can print. For national development like paying local constructors to construct roads, water projects etc. That doesn't need external paying. I AGREE. I HAVE UNDERSTOOD YOUR POINT SIR.
Noo this guy anasema print money to pay salaries
And where do we get the materials for these projects 😅 we don't mine everything you know. So you have to import using foreign currencies.
money is the lifeblood of the economy, you do not just introduce it by printing, this is very shallow thinking
Fellow MMT. from MERU, you are not alone
Thank you. If you are willing to champion MMT in your areas of influence then please inbox me your number
Very interestingconversation.... accordingto me the problem here in our country is, we produce less ; export less while importing more which means money flows out of our country, 2nd many politicians "the corrupt ones" steal money and stores it in other countries which leads to less money in circulation, 3rd the government takes huge loans which are normally offered at high interest rates , 4th the government operates under IMF, The World Bank and other International Institutions which were primarily formed to ensure Africa will be perpetually in debt so that they can control us (Africans) to be in the same position of providing raw materials. African leaders should wake up.
Hes absolutely right. Please tell mr Ruto..
We need economic stimulus for us to do the printing, create more jobs,create more projects, pay people, cut corruption...You must be however careful not to overprint...
Quite agree. Are you an economist?
I'm glad this issue can't go beyond radio, printing money (even quantitative easing) is very risky and in our circumstance may not work, if anything it will make things so much worse. Zimbabwe and Uganda did this very thing and the value of their currencies collapsed. The most common method for fighting inflation is raising interest rates to mop up excess liquidity. For Kenyas case, there is always a deficit. What we lack are the mechanisms for financing it. Fighting corruption will be helpful, Uhuru mentioned that 2 billion shillings is lost everyday that translates to over 700 billion which is more than a quarter of our budget. We need to look into this.
with all due respect, I think this is a very simplistic way of looking at how an economy should work.
Rewatch please......but U must have attended some political economy class first. Otherwise you will not get anything. Tumbaff
@@livewire_podcast Economics is my Major.
Great idea. I was actually thinking about that last week as far as Kenya's tax problem is concerned. Printing money via MMT is for money for the increase if productivity only..... not to pay debt.
Why? Because when you print to pay debt or handouts, you just increase money supply and its inflationary, however if you print to boost productivity, you get an increased money supply but is met with a corresponding increased product to buy, and that's not inflationary. It just becomes the catalyst to increase productivity in the economy. Its increases GDP, created jobs in sectors that where dead because they had previously lacked "funding"
Its only dangerous when the government prints to pay soldiers, teachers, bribes etc because these expenses don't increase productivity levels.
But if its invested in farms for example, farms will produce more for people to consume. Because MMT creates money, that money gets to buy the increased productivity.
MMT is purely for the facilitaton of stagnant productivity.
Judging by the other comments here I think our education system should change, people can't continue believing the cold war western propaganda which aim was to keep the economic order as it was
When CT Muga talks of Trust currency, he's referring to FIAT Currency...money out of Nothing...so why not Print more of it 😅
Printing money is simply devaluation. Where did you get this from?
Read up on the modern money theory.
Im also an MMT believer
Am telling you this is devaluation!! Wsr alipata hii idea tutabeba pesa na magunia ku buy bread
@@therealzondocommission728 Keep believing, some of us don't use faith we need real examples. Show us an example of a country other than usa which is the superpower that has successfully done this. I'd appreciate if it was a third world country 😅
@@mrman3363china, Korea, Japan, Europe however for it to work printed money should be used for infrastructure projects which will increase the economic output e g a hydro dams, manufacturing factories
Regarding the matter, I refer each viewer to the books and RUclips videos of Dr. Michael Hudson.
There is a difference between creating and printing money
Great concept but few peolple will understand it.
Wapi am not an economist but I get it.Good example of inflation was during covid,when too much money was chasing 😷 or vaccines.
Of course this is not a complex idea just say you want to flex on people
Kabisa. I understood it. As long as, the people being paid are those who are going to spend it in Kenya. Trust me, we will employ Kenyan constructors to construct roads, etc.
American dollar only can be printed but not others
Chinese yuan, Japanese, Euros, all developed countries print money whenever they want they just don't advertise and they are able to handle their inflation better
idea dead before arival, cant work.The idea if implemented can devalue shilling terribly like Zimbabwean currency.
YOU DIDN'T UNDERSTOOD HIS POINT. Listen from 9 minute to 13 minutes.
@@reubentv2948 if the political class are misappropriating our hard earned taxes, what about if they know money is printed to pay salaries, si wataweka ghost workers???!!
@@reubentv2948This is wishful thinking. Show me another country other than usa that has done this in the long term given that these guys are the super power, their currency is the world reserve currency, they are industrialized and are the leading inventors and innovators in the planet (btw countries like china and india just manufacture on a massive scale, but the usa has the patents and its largely their companies taking business overseas but they still own everything. I know that other countries also invent and innovate.) Even before they became the superpower they were still a major power. Try this in a third world country and suffer the consequences given that we still heavily rely on external investors.
You are not getting the concept. This guy is a genius if you understood
@@locoiyad4798 🤣🤣 Aah, I see, taking the your not intelligent enough if you don't agree with me 😅 that's fine. Just show me a third world country where they don't significantly manufacture anything for export like Kenya where this has worked, am waiting. Everyone sounds like a genius on paper show me success in the practical world with an economy similar to Kenya 🤔
If the Kenyan government prints money to fund projects, it can lead to:
1. Inflation: Excessive money circulation can cause prices to rise, reducing the value of money.
2. Devaluation of currency: The Kenyan shilling may lose value against other currencies, making imports more expensive.
3. Economic instability: Excessive money printing can lead to economic instability, potentially causing a financial crisis.
4. Loss of trust: Over-reliance on printing money can erode trust in the government and the economy.
5. Hyperinflation: Uncontrolled money printing can lead to hyperinflation, making the currency nearly worthless.
6. Reduced purchasing power: As inflation rises, the value of money decreases, reducing the purchasing power of citizens.
7. Inefficient allocation of resources: Printed money may not be allocated efficiently, potentially leading to wasteful spending.
8. Dependence on printing money: The government may become reliant on printing money, rather than implementing sustainable economic policies.
It's important for governments to maintain a balanced approach to financing projects, considering factors like economic growth, inflation, and fiscal responsibility.
Big Facts 💯
Chat GPT
After the issue what do you do with it? What will be the purpose of us working if that value will be printed at will? What will determine value if we can print it? What will the money do in the market? Whats that economic name and tested theory in money printing which is positive? We know of Uganda, Zimbabwe...
Let me help you, if you print to give people, they will be inflation because they will be more money chasing available goods. But, if you print "only" to lend to producers of goods, the market will have more goods produced to meet the increased money supply. But because that borrowed money, after selling, the producers will have to pay back the money and the money gets cancelled. Amen.
This theory is okay only where the constitution is strictly followed. Corruption is the problem. Just balance supply and demand, then remove corruption from the equation.
MOI 2nd coming. They have no idea how to generate revenue. Why does this issue always come up when we have uneducated Kalenjins in power?
. This idea by Mwiti may seem wild...but
-the debts in foreign currency we get all the time..how can we tell its not those countries printing and lending to us...they then insist on employing their own people in projects in our country..and solve their unemployment etc etc
They actually print to loan and earn interest from the loan the Chinese, America and Euros
YK 92 era they printed money and were dishing out "Jirongos" (500/= notes) all over the place. Kuliharibika sana.
Some have asked me how I see the government's role in the economy. I believe they should be participants in the economy, not manipulators of it.
Keynesian remedies
Print the money,give affordable loans and incentives to local investors to produce all goods and services which we import.This will create several jobs then tax the employees.simple! For this succeed an anti-greed vaccine, tablets of integrity & syrup of patriotism ....is a must😂
😂😂😂 Sasa hio ATI greed vaccine ndio hakuna hapa Kenya. Na kama Iko basi itaibiwa tu
You cannot produce all the goods and services which you import 😅😅 this doesn't even work for the most developed nations. Plus to get all the machinery from outside you can't buy it in shillings, 😅 that's not even factoring in the expertise needed that we don't have because the quality has to compete with imported goods.
They should have this conversation with an expert in the room
OK I like this kind of radical thinking. but what of printing this money and pay off those external debts pap! this has no risk of inflation locally
I'm a game developer,this is going to be my next project,I'm going to do a simulation on it
Interesting. I would like to hear more about it
Me too
It works and that's why China is able to build all those huge infrastructures which are unnecessary and loan money to African countries using their own currency
I think part of the problem is the factory owners. If people have more money to spend, why dont factories increase their production to match the demand. Why is it easy for them to hike up prices instead.
Prudent governments would print money inject into the economy and use the same money to offer loans to producers to increase productivity to match the demand. Alternatively, they can be given tax incentives to enable them retain revenue for increased production.
If we stick with economic books and theories of 1940s, we wont grow.
Well said.
You're describing the Chinese economy 😂
@@leroydanny4072 doesn't it work???? What's wrong with Chinese Economy if it has liberated people out of poverty.......
@@livewire_podcast I was giving you an example of that economic model, I'm not against MMT
HOGWASH! @spicefm, please be doing your homework on some of these guests
Sindio this conversation should just END here in spice fm.
Yes, govt can self fund but only for productive means- infrastructure, manufacturing and agriculture. Not on assets like housing. Then it wont cause inflation. People will be employed , economy will BOOM!
Taxes and domestic borrowing takes money out of the economy and stifles it.
It wont happen because of who runs KENYA INC.
Lies INC. Government control over industry leads to death of enterprise
This is the most unintelligent conversation that I have heard in years.
This is not the problem in the country. Kenyan leaders are looting public cofers and stacking it overseas and offshore. So there is very little money in circulation. The appetite to take the little left from the poor to loot makes me sad. If we make this country better for all makes the difference.
Tony Gud idea Shida Ni moja it's based on Gud faith of the gvt
Zakayo asione hii plz
Kenyan government needs ro to own the largest banks to create money through cheap competitive percentages for development and creation of manufacturing, industrial,mining and energy sectors to employ more people.fewer private banks and independent banks are needed and no central bank
So fascist government? Terrible idea
Banking is a commercial venture to be owned fully by commercial interests with free market principles
The government should not do business but only create a conducive environment to do business.
@@kabuthakabutha9472 They dont even do that well. Small non-interfering government is the best
@@iamsyourdadithe USA reserve bank does what he is describing 😂
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget us allocated to the above projects Instead of financing the projects in taxed money , the government can print money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government.
Supply vs Demand = Thriving economy. How to stimulate this is the Kenyan Achilles heel. Railways that end midstream, roads that are washed each seasonal rainfall, big cars and mass unemployment became our new normal. Dubai has done it, SA is doing it. Tourism, Hype projects, Sport's do something, anything..hype hype hype..
The theory of MMT is that taxation is what gives money its value
How can he know that ruto is clueless just like the one he has employed. He should employ such guys like this man here
Asante
central bank and not the government issues money, additionally why would government which doesn't have a commercial motive print money to fund commercial projects?
Let me shock you by informing you that the central bank is 100% state-owned..so we can argue all day that it is not the government but it'd be moot because the government appoints some of and controls its officials.
This is great point, its not new because govt do it in western countries,
Actually they dont. They rely on keynesian economics not on bogus foundations like MMT does
@@iamsyourdadiBiden did use MMT during Covid
@@therealzondocommission728 First, we don't know that. We only that they printed money- like most countries are doing (including Kenya). We dont know the BTS economic foundations
Printing money != MMT
Secondly, even if we assume that was their foundation, it has resulted in the worst inflation in the US in modern times so not good at all
@@iamsyourdadi Keynesian is bogus as well, and the same thing essentially
@@kiprotichsalat2460 I know man. But thats a war we cannot win. People believe too much in the government and like its spending sprees.
I wonder what your school of thought is brother. It's very rare to meet a non-keynes
He has a good idea, just not the way it should work. That is how the late Id Amin dada thought
Its better to increase V.A.T and reduce income tax.
Bro, mkianza structured money printing na iyo idea Zakayo imuingie sasawa, mtajua hamjui. overnight printing and looting which will ground this economy in ways you have never seen. Avoid that conversation kabisa. That approach is only handled by leaders with high moral ground and integrity. You seem not to understand the Hyenas in this govt. You just don't know them well. Already background corruption going on is unprecedented and no journalist is focusing on that
Hadithi ya Zakayo mbona hamsemangi iliisha aje kwa bible.
I second you completely. Hii conversation inafaa iishie tu hapa spice fm.
My fear as well. But at least sio pesa zetu wataiba. Na wakifanya hivyo WA spend Kwa economy kutakuwa increased circulation of money. Sahi Hakuna pesa
@@patrickndichu3905Zakayo wetu hawezi shuka hio mti na kutubu dhambi zake. Akiitwa atakaa tu huko juu.
@@mlw237 Haina mambo..weka kura yako vizuri 2027 haiko mbali..
" Ni me ndio nakushow" 😂
I think this can weaken the shilling
Tena sanaaaa
Short sighted argument. KES is not a reserve currency. Try it and watch the bond markets remind you of that fact.
A currency need not be a Reserve currency for MMT to work, the 2 are not correlations. All currencies are conjured instruments upon which citizens bestow "value"; on the other hand, the whole idea of MMT is that you create a currency/money to pay for goods and services and then scale any excess (inflation) through imposing taxes. This is the opposite of the current system where governments raise money through taxes, use it to pay for the same goods and services, and then whine that they don't have enough (deficits)...and then proceed to borrow more money and into debt, perpetually keeping economies in debt. But the bottom line, all you need is a currency for MMT...any currency.
That printed money will be stolen by two people 😅 in a period of less than 6 months
Ask Germany how it went when they printed money more money than they needed
Huyu alienda shule wapi?? Zimbabwe??The more you print money THE MORE IT LOSES VALUE!
MMT!!🥳
Madness. Our issue is corruption. We have enough revenue
Voodoo economics.
How
QE only works if you are a hard currency. Otherwise, pure disaster loading.
Just one word ZIMBABAWE
UNDERSTAND HIS POINT WELL SIR. YOU REALLY DIDN'T UNDERSTAND.
EMPLOY THE LOCALS WHO NEED KENYAN SHILLINGS NOT DOLLARS AND OTHER EXTERNAL CURRENCIES.
Zimbabwe's condition does not = MMT lmao.
How do you get to host fools calling themselves economists?
Nooo..Fools?? The best u could do is drop in your, supposedly Great mind, ideas, lest it becomes foolish to call pple fools!!
Those are jokes that should not be entertained at all. We're led by jokers, what we have are governance issues.
That's because all your life you've been brain washed to believe that the Bretton Woods system is the only viable economic system. Consider in full the merits of of MMT before dismissing is as a joke.
Do not print money😢
He has a point. The challenge is, converting into USD or any other currency if we have less gold reserves.
The govt should resign
Very bad idea, we have Zimbabwe as an example when this idea is implemented 😢.
Zimbabwe never implemented MMT, they simply tried to keep afloat their currency under severe international sanctions.
kind of advise that is very bad for economy huyu na dee wako same whatsapp group.
This guy has never been in an economics class. Kingereza mingi tu. He doesn't even know simple economic principles...
Put it simply: MMT DOES NOT WORK!!!!
How do you know...the US has been printing money since forever lolz.
@@stove7197 printing money doesn't make the underpinning economic theory MMT. Economic theory has to establish foundations and models around value, price, demand, supply, incentives and so forth.
MMT as an economic foundation is basically cowdung. Kenya already prints money- this guy needs to explain how to keep the system stable in that environment
great idea but with zakayo! woi🤧
Story ya Zakayo huisha aje kwa bible?
@@patrickndichu3905Enda state house ukasomewe hio story 😅
🤣🤣🤣🤣🤣 He is advocating to turn the money printer 🖨️ into overdrive.
Idi Amin Style.
I think I need to buy some more Satoshi.
Yes I remember those days money was called chikapu meaning kkikapu bcoz money was carried around in a basket 🧺.
A lie Uganda tried it failed terrible
Kenya's problem/s is corruption. All these other stories ni story za jaba...
this guy doesn't make sense you can't tell people to print more money. the funniest thing i have heard today. money is not just paper. money should have value that matches the productivity of a country
The MMT guys have been trying to fool people with this nonsense without explaining a simple concept- VALUE.
I don't think you've understood the MMT at all. MMT does not consider money as paper, and neither is there any rule even in the current system that money must have "value that matches the productivity of a country".... what does that even mean lmao!
That's the problem of sectional focus..like on money printing or creation .... Ve' a holistic approach..he'd some good points u need to listen to, probably with some patience!!
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget is allocated to the above projects Instead of financing the projects in taxed money , the government can print more money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation is in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government😢.
To implement this, printed money should be invested in money-generating assets like real estate, road infrastructure, and industries.Every year a budget us allocated to the above projects Instead of financing the projects in taxed money , the government can print money to finance these projects. Contractors can use their own funds initially, and the government can reimburse them after project completion. This rejects and injects new money into the economy without increasing taxes and inflation in control, fostering job creation and income growth, which ultimately leads to increased tax revenue and dividends for the government.
That is a fallacy, unless I was the president to oversee all the money printed to go towards development. Wewe si unajua Kenya venye Kuna wezi wengi in "suits"