Glossary entry: sectoral balances I posted this new glossary entry yesterday afternoon. I was astonished to find I had not written an entry on sectoral balances before now, so I made good the deficit. Sectoral balances describe a ma...

"... In any economy, total financial surpluses and deficits must balance. One sector's surplus is necessarily another sector's deficit. This is not a theory or a policy preference. It is an accounting identity that holds at all times...."
#SectoralBalances
www.taxresearch.org.uk/Blog/2026/01...

Are government debt and trade deficits linked – and does it matter? I was asked this question on the blog yesterday by Anja Cradden: I have a slightly related, slightly tangential question… is there a relationship between the size of government debt and the trade defi...

"...is there a relationship between the size of government debt and the trade deficit?...."

#SectoralBalances #TradeDeficit #FiscalDeficit

www.taxresearch.org.uk/Blog/2026/01...

#JamesRosier has a rather good primer on #SectoralBalances. youtu.be/mtDzC3i9i6A

Modern Monetary Theory (MMT) in 67 Bullet Points This is a working document. Although I am publishing it now, I intend to continue editing and adding to each of these bullet points over time.

3. So, if the government is running a deficit, this will result in a surplus somewhere else — either in the private sector, the foreign sector, or both."

Modern Monetary Theory (MMT) in 67 Bullet Points: tinyurl.com/32s6n8ja

#Economics #SectoralBalances