We show that in models with the Hatsugai-Kohmoto type of interaction that is local in momentum space thus infinite-range in real space, Kubo formulas neither reproduce the correct thermodynamic susceptibilities, nor yield sensible transport coefficients. Using Kohn's trick to differentiate between metals and insulators by threading a flux in a torus geometry, we uncover the striking property that Hatsugai-Kohmoto models with an interaction-induced gap in the spectrum sustain a current that grows as the linear size at any non-zero flux and which can be either diamagnetic or paramagnetic.
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Guerci et al. (2024) studied this question.
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