“As the inspired amateur economist Warren Mosler likes to say, the person who writes Social Security checks at the Treasury does not have the phone number of the tax collector at the IRS. If you choose to pay taxes in cash, the government will give you a receipt–and shred the bills. Since it is the source of money, government can’t run out. ”

http://www.thenation.com/doc/20100322/galbraith

Also Mark Thoma has a post on the article. Good job Mark!

http://economistsview.typepad.com/economistsview/2010/03/in-defense-of-deficits.html