When I was young there were two choices: Marx or Keynes. The falling rate of profit and the general crisis of capitalism yielded its cure: central planning.
Keynes/Roosevelt/Paul Samuelson stood for government intervention when the capital markets froze up.
Then came Milton Friedman and the rise of the free marketeers. Now they have the upper hand and Keynes's heirs like Paul Krugman are frozen out of the White House because even though they were right they were politically anathema to the right with whom compromise was necessary. so Obama and Geithner guessed low on the stimulus needed, ran into a Republican fan when it proved short of being enough, and are now stuck in a major jam.
So what is Keynesian economics about? HERE is Paul Krugman's Keynes Lecture. Warning - it's wonkish and it has graphs with xy axes..
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