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Definitely.  In light of our earlier discussions about the inflationary/non-inflationary effects of government spending in previous diaries, I've been thinking that a good way to get started on a full employment program would be for the central government, the part the issues money (making it impossible for the current Eurozone, sadly), to guarantee state/province/local entities full funding for as many teachers, doctors, social workers, etc. as they feel fit to hire, and to fund it all via direct monetary creation so there's no deficit funding to worry about at all.

In addition to promoting employment in system-critical and labor-intensive sectors, this would also be a powerfully anti-cyclical stimulus program for the whole economy, as there would be a large sector of fairly low-income people who would keep their jobs, and keep pumping money into the regular economy, despite the overall economic situation, and despite any decline in tax revenue.

by Zwackus on Sun Sep 2nd, 2012 at 04:39:09 PM EST
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