Keynes

Paul Davidson argues that a theory is the way humans describe real world observations on the basis of a model that starts with a few axioms. An axiom is an assumption accepted as a universal truth that does not need to be proved. From this…

My friend Rob Parenteau doesn’t think it will. His argument against it is similar to the one I have been making about the origins of this crisis. Here’s what I said.

Below is a framework that delineates the ideology and economics of two groups of economic thought that are much talked about in the wake of the Credit Crisis: the Chartalists and the Austrians. These two groups are considered outside of the…

These Hayek – Keynes videos are hilarious (hat tip Barry Ritholtz). This one is called "Fight of the Century" - sort of like Marvelous Marvin Hagler against Sugar Ray Leonard.

Good interview and interesting analysis of the personal history of Lord Keynes. Skidelsky does a good job of describing Keynesianism in 15 minutes. My main criticism is that I feel he failed to adequately address the malinvestment issue…

By L. Randall Wray The following is a paper given at the ASSA conference in Denver this past week for a panel organized by James Galbraith, titled Pressures on the Paradigm, sponsored by Economists for Peace & Security. The Queen…

Paul Davidson argues that the Obama Administration and its allies in Congress have not actually followed the prescriptions laid out by the British economist Lord Keynes in making economic policy – and that this is a principal reason for…

Great video detailing explanations for why the financial crisis happened. Big hat tip to the Pragmatic Capitalist. I like this first aspect of the video and I LOVE the drawings. Very cool. Of course, you know that you're going to get…

Marshall Auerback here with some further thoughts from the Institute for New Economic Thinking’s recent kick-off conference at Cambridge University. It might appear ironic to commence a conference ostensibly centered on new economic…

If one wants to see what happens when you use stimulus to help keep zombie companies alive and to resist reform efforts, look no further than Japan.  For twenty years now, Japan has been dealing with the consequences of a burst asset…