Via the always excellent Victor Schvets at Macquarie:
We can no longer exit de-facto MMT but not yet ready to accept it
• Does Democratic capture of the senate signal that a ‘blue wave’ has finally arrived? In our view, the answer is Noor at least severely diluted. It should not be forgotten that the Republicans won decisively at a local level (state and gubernatorial) and now control more local levers of power (for redistricting and active or passive resistance) than they did prior to Nov. Similarly, Democratic majority in Congress has been slashed to a ‘razor thin margin’ of only ten members while the Senate is split 50:50, with Democrats risking any piece of legislation, if they lose just one senator. This is a far cry from Obama’s wave when Democrats had 59 senators Clinton’s wave when he had 57 senators.