Re: John Maynard Keynes and Keynesian economics
Keynes, the "Father of Fiscal Policy", was the most influential of the 19th century. Certainly in times of depressions, we need some kind of fiscal stimulus. With interest rates at 1% during the Great Depression, we found that monetary policy would not work if there were no jobs.
Milton Friedman is perhaps the most influential economists today. He is at the other end of the spectrum, believing that fiscal or monetary policy causes recessions and inflations. He emphasis the "monetary rule", which states that the money supply should grow only with the growth of the economy, or about 3-5% a year.
I am influenced more by Friedman, believing that fiscal stimulus is needed only when the economy is really hurting.
|
|
Posted By Ken Norman on September 06, 2004 at 22:56:09:
In Reply to: John Maynard Keynes and Keynesian economics
posted by Steve on September 06, 2004 at 16:29:17:
Ken Norman, MSEconomics Instructor
 |
Orthopedic catalog of braces and supports for the knee, ankle, wrist, elbow, back, foot, and shoulder. Products by Bauerfeind, Active Ankle, Tulis, Slipos, Bioskin, and more. |
[
Follow Ups ] [
Post Followup ] [ Economic & Macroeconomic Forum ] [
Disclaimer ]
Follow Ups
- amgezada amgezada 07:01:55 11/14/2005
(0)
Post Followup
| |
|
