I agree with you but for a completely different reason.
What doesn’t seem much taught in economics (or for that matter in science) is the connection of money with energy.
Historically there were things like a gold standard, which is still used as a kind of reference for how much a particular currency is slipping, or gaining in value. Slipping a lot, is interpreted as inflation.
But when we think of gold, or oil, or any other capital commodity in terms of energy, it represents a very large amount of solar energy it took to create it, millions of years worth.
In the case of oil, we can get a tiny bit of it back out, or plutonium we can get a lot back out, but still they are all forms of solar energy work done, no longer useful, unless as fuel, but always at penalty of pollution.
So we can say in general there are some static Joules in all things of capital.
In the case that we manufactured things we call capital, like electronic chips for example, it always came from the energy of burning fuels, so all we were doing was converting some of the Joules stored, to another stored form, at penalty of also producing pollution.
The basic stock of things comprising Joules was considered constant, therefore represented by fixed amounts of money.
But since now at least a portion of energy used by all business is from solar power, now there is an increasing amount of live Joules received from solar, being incorporated into our produce.
So the stock in terms of energy is now no longer constant, but continually increasing.
The more we switch to solar, the greater this effect gets, so the more money is no longer accurately tracking the true value of the produce.
That seems to coincide neatly with the continually rising value of Bitcoin, which itself is increasingly becoming solar powered, despite comprising what will eventually be a fixed number of tokens.
All are implicitly measured by a fixed quantity of Joules in capital, which is work done, rather than work in progress, the ongoing thing of value, the solar energy being received, and actually going into capital.
Getting to the point, money has not been accurately reflecting things in terms of energy, since we started to use significant solar energy.
"Debt" only has meaning in terms of money from a fixed stock. It has to be a zero-sum game, for a debt to be be fairly repayable. When the value of money lent, as seen by either side, changes, then the debt is no longer fairly collectable.
We know this and see it happen all the time, but keep practicing it.
But now nature is practicing it also, the house is altering the value of money almost outside our perception, by winding more and more live solar energy into our business.
It is no longer zero sum, but these effects can easily be mistaken for MMT.
It isn’t MMT, it is a genuinely continuously expanding pool of wealth which we are not dealing with fairly by not recognising.
By rights, the benefits of this belong to all people, but in the West it is being enjoyed by only a tiny minority, those who have benefited most from capital.
Further, we are jeapordising the environment by not recognising it.
To recognise it, money has to move from representing a fixed amount of the stored Joules in capital, to representing a fixed amount of the Joules being received from the sun.
That would appear as deflation from the point of view of money-as-debt, but as the opposite, from the point of view of money-as-sunlight.
In other words, we need a live flowing solar energy standard for money, rather than a gold standard.
We might notice the real value of proof of work tokens like Bitcoin, is that they are a means of monetising solar energy, and are actually doing exactly that, mostly under the radar of most governments.
The full implications, beyond even most Bitcoiners, who just see it as more capital, are that money has to go free.
Money has to be donated to all business and all people to reward for collecting and using the energy of sunlight.
The implications of that, in turn, are that all capital, should, and has to become valueless.
Anyone doubting this only has to realise that a constant stream of sunlight received and procesed with now routinely available technology converts directly to a constant stream of hydrogen fuel, which directly replaces fossil fuel, with none of the pollution, either in its production, or its use.
That, should be represented by a constant stream of money, created in the same way, even interchangeably as the fuel.
It turns out that the load balancing of the power output from a solar farm driving a datacenter mining tokens backed up by hydrogen fuel cells does exactly that, reductions in intensity of mining results in the excess energy being converted to extra hydrogen in the fuel cells.
Therefore that money is physically directly interchangeable for hydrogen fuel, which is obviously very valuable.
In summary, all business and all people could be directly funded by that, and their output in turn could be donation.
I know that probably doesn’t fit well with your supply and demand model, the usual question asked is "Why would anyone work"
All I can say is we’ll soon find out, because it is happening, and has to run to conclusion, one way or another. Nature, the house always wins.
The banks, governments, and business could make it easy by admitting all of this, that effectively our financial debt is actually an energy debt to our planet, which can and will be paid by solar power, and starting to issue the money we all need to do that tomorrow with minimal further delay would be a very cool move, assuring the value of their output.
Otherwise, there is going to be some pain, but eventually it will happen one way or another.
I have made some other suggestions in my own stories around the "Bitcoin Kardashev Hinge", for anyone interested.