The Free Lunch Theory, aka as Modern Monetary Theory, is finally getting its refutal. With $30 trillion national debt heading towards $40 trillion and an out of control inflation it is hard to defend the theory with a straight face any more. It reminds me of stagflation of seventies that eventually required harsh monetary policy of eighties to bring order to the economy. Free spending to provide free every thing for all doesn’t pass the smell test. We have spent $20 trillion in deficit spending in last 12 years. It eventually had to show up in prices.
Jimmy Carter was a one term president because of that stagflation. Let that be a cautionary note to Joe Biden!