Keynesian economics, also called Keynesianism and Keynesian theory) are the group of macroeconomic schools of thought bad on the ideas of 20th-century economist John Maynard Keynes. Keynesian economists believe that aggregate demand (total spending capacity in the economy) does not necessarily equal aggregate supply (the total productive capacity of the economy). Instead it is influenced by a host of factors and sometimes behaves erratically, affecting production, employment and inflation.
Advocates of Keynesian economics argue that private ctor decisions sometimes lead to inefficient macroeconomic outcomes which require active policy respons by the public ctor, particularly monetary policy actions by the central bank and fiscal policy actions by the government to stabilize output over the business cycle. The theories forming the basis of Keynesian economics were first prented by Keynes in his book, The General Theory of Employment, Interest and Money, published in 1936. The interpretations of Keynes are contentious and veral schools of thought claim his legacy.
Keynesian economics advocates a mixed economy — predominantly private ctor, but wit
h a significant role of government and public ctor简爱心得 — and rved as the economic model during the later part of the Great Depression, World War II, and the post-war economic expansion (1945–1973), though it lost some influence following the tax surcharge in 1968 and the stagflation of the 1970s. The advent of the global financial crisis in 2008 has caud a resurgence in Keynesian thought.
Theory
英文祝福短信Overview
Prior to the publication of Keynes' General Theory, mainstream economic thought was that the economy existed in a state of general equilibrium, meaning that the economy naturally consumes whatever it produces becau the needs of consumers are always greater than the capacity of the economy to satisfy tho needs. This perception is reflected in Say's Law and in the writing of David Ricardo, which is that individuals produce so that they can either consume what they have manufactured or ll their output so that they can buy someone el's output. This perception rests upon the assum
ption that if a surplus of goods or rvices exists, they would naturally fall in price to the point where they would be consumed.
结婚四周年Keynes' theory was significant becau it overturned the mainstream thought of the time and brought about a greater awareness that problems such as unemployment is not a product of laziness, but the result of a structural inadequacy in the economic system. He argued that becau there was no guarantee that the goods that individuals produce would be met with demand, unemployment was a natural conquence. He saw the economy as unable to maintain itlf in equilibrium and believed that it was necessary for the government to step in and put under-utilized savings to work through government spending. Thus, according to Keynesian theory, some individually-rational microeconomic-level actions such as not investing savings in the goods and rvices produced by the economy, if taken collectively by a large proportion of individuals and firms, can lead to outcomes, wherein the economy operates below its potential output and growth rate.
叱诧风云的意思
Prior to Keynes, a situation in which aggregate demand for goods and rvices did not meet supply was referred to by classical economists as a general glut, although there was disagreement among them as to whether a general glut was possible. Keynes argued that when a glut occurred, it was the over-reaction of producers and the laying off of workers that led to a fall in demand and perpetuating the problem. Keynesians therefore advocate an active stabilization policy to reduce the amplitude of the business cycle, which they rank among the most rious of economic problems. According to the theory, government spending can be ud to increa aggregate demand, thus increasing economic activity, reducing unemployment and deflation.
Keynes argued that the solution to the Great Depression was to stimulate the economy ("inducement to invest") through some combination of two approaches:丰富的英语
1. A reduction in interest rates (monetary policy), and清明节由来
凳子的英语2. Government investment in infrastructure (fiscal policy).
By reducing the rate at which the central bank lends money to commercial banks, the government nds a signal to commercial banks that they should do the same for their customers. In reality, government loans to commercial banks make up a tiny proportion of the overall funding of commercial banks, and as a conquence, it can be ineffective at times when the degree of economic contraction is significant.
Investment by government in infrastructure injects income into the economy by creating business opportunity, employment and demand and reversing the effects of the aforementioned imbalance. Governments source the funding for this expenditure by borrowing funds from the economy through the issue of government bonds, and becau government spending exceeds the amount of tax income that the government receives, this creates a fiscal deficit.
