Perry Mehrling Quoted in Bloomberg Article, “Rethinking Currency: Finding a Better Way to Run an Economy”

GDP Center faculty member Perry Mehrling was recently quoted in a Bloomberg article entitled, “Rethinking Currency: Finding a Better Way to Run an Economy.” The quoted text reads: 

One person’s money is always another person’s debt. That’s even true of dollar bills: Now that they’re no longer backed by gold or silver, they’re just IOUs that the U.S. government issues. The private money in your checking account is an IOU from your bank. If the IOUs that you hold aren’t reliable, then your money won’t buy anything. The implication is that the key to making money better is “making sure that people who are making promises are doing so with the intention and ability of fulfilling those promises,” says Perry Mehrling, an economist at Boston University’s Pardee School of Global Studies who teaches an online course about money.