Total Posts:7|Showing Posts:1-7
Jump to topic:

Keynesian economics

Puck
Posts: 6,457
Add as Friend
Challenge to a Debate
Send a Message
11/3/2009 6:30:30 PM
Posted: 7 years ago
At 11/3/2009 6:29:44 PM, Registered_Trademark wrote:
Who here believes it and why?

Who here disagrees and why?

Try posting in the Politics forum. :)
Xer
Posts: 7,776
Add as Friend
Challenge to a Debate
Send a Message
11/3/2009 6:31:57 PM
Posted: 7 years ago
At 11/3/2009 6:30:30 PM, Puck wrote:
At 11/3/2009 6:29:44 PM, Registered_Trademark wrote:
Who here believes it and why?

Who here disagrees and why?

Try posting in the Politics forum. :)

Also try giving your own opinion as well. :)
Puck
Posts: 6,457
Add as Friend
Challenge to a Debate
Send a Message
11/3/2009 6:32:14 PM
Posted: 7 years ago
Here is a quote from Keynes, aptly applicable to his ideas. :D

"Practical men, who believe themselves to be quite exempt from intellectual influences, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back."
studentathletechristian8
Posts: 5,810
Add as Friend
Challenge to a Debate
Send a Message
11/3/2009 6:36:46 PM
Posted: 7 years ago
At 11/3/2009 6:29:44 PM, Registered_Trademark wrote:
Who here believes it and why?

Who here disagrees and why?

If you refer to planned deficit spending, I am against.

Look at FDR incorporating this policy into his presidency. It helped double the national debt of the time period and lead eventually to a whopping $258 million deficit following WWII.
wjmelements
Posts: 8,206
Add as Friend
Challenge to a Debate
Send a Message
11/3/2009 6:50:52 PM
Posted: 7 years ago
Disagree with both EMP and Deficit.

Copypasta from: http://www.debate.org... http://www.debate.org...

- Deficit spending, as you have advocated it, calls for the borrowing of funds from elsewhere and placing them somewhere else.
EFFECTS:
-(This mass-scale borrowing increases interest rates, because the USFG must borrow affluence from other countries)
---(High interest rates discourage borrowing, and ultimately, investment)
---(High interest rates encourage saving, because a higher return is given)

-The wealth borrowed is not spent to employ workers in the country from which the funds are borrowed.
---(Because of free credit, the market tends to allocate stock into more profitable capital. Therefore, the multiplier on the side being taken from is higher than the side being given to. The result is a mis-allocation of stock)

It is in the interest of the market as a whole to adapt to consumer demand.
When an artificial shift in demand occurs, the market must adapt to meet this change just as with a natural shift. Capital must be invested in another area in order to reap the highest effective profit, and the transition yields temporary unemployment.

Take for example, after WWII, there was a shift in demand from military expenditures. After the end of the war, unemployment jumped from under 2% to ~6%.
in the blink of an eye you finally see the light
Frenchy
Posts: 6
Add as Friend
Challenge to a Debate
Send a Message
11/4/2009 10:50:58 AM
Posted: 7 years ago
The problem with this type of economy is if your country is the only one to practice it, then it doesn't work and you lose money. Former president François Miterrand (1981 France) was in this case and his keynesian project to reactivate the economy in France failed: wages were increased, but inner consumers only buy products from other countries. And other countries during this period didn't increase importation of french products.