The global outbreak of COVID19 has deeply damaged global industrial chains, supply chains and financial chains.The economic “shutdown” has raised various problems, among which the employment problem is particularly serious.In order to “restart” the economy, many countries have adopted various economic policies, and fiscal policies focusing on increasing government fiscal deficits and government debts, which have attracted much attention.Based on Modern Montary Theory and the core point of functional finance, this article argues that for any government issuing sovereign currency, its deficit and debt denominated in its own currency are reflected in the surplus and wealth of the nongovernmental sector, and the sovereign government deficit reflects the essence of “functional finance”.On the one hand, it cuts the basic interest rates and thus has a crowdingin effect.On the other hand, it stabilizes prices and promotes full employment.Therefore, a sovereign government has the ability to actively act as the “spender of last resort” to implement the “Job Guarantee” and ensure employment and economic stabilizing, which also reflects the meaning of “precise poverty alleviation”.

COVID19 Pandemic; functional finance; job guarantee; precise poverty alleviation