

Theoretically a city can issue a scrip…
but a city is much more constrained by real resources than a whole country, and there’s basically no chance that anyone outside the city would accept the city’s scrip
In a small experiment it’s doable, like paying municipal workers extra scrip and accepting municipal taxes in said scrip so local merchants would maybe accept it
The two main issues are: real resource constraints and another more valuable legal tender (the actual fiat money of the whole country) would be “competing” with the scrip
MMT is descriptive while functional finance is closer to a policy
You need a sovereign country to do functional finance — a city by definition is not sovereign
key points to MMT
Fiat money is infinite
but real resources are finite
Taxes create a demand for fiat money
and you need functional state power to collect taxes (like very serious consequences for tax dodging [billionaires are excluded of course hehehe])
same!