Download Keynes vs. Hayek Notes

yes no Was this document useful for you?
   Thank you for your participation!

* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project

Document related concepts

Production for use wikipedia , lookup

Washington Consensus wikipedia , lookup

Economic democracy wikipedia , lookup

Ragnar Nurkse's balanced growth theory wikipedia , lookup

Inflation wikipedia , lookup

Recession wikipedia , lookup

Non-monetary economy wikipedia , lookup

Economics of fascism wikipedia , lookup

Inflation targeting wikipedia , lookup

Helicopter money wikipedia , lookup

Early 1980s recession wikipedia , lookup

Money supply wikipedia , lookup

International monetary systems wikipedia , lookup

Monetary policy wikipedia , lookup

Keynesian economics wikipedia , lookup

Business cycle wikipedia , lookup

Stagflation wikipedia , lookup

Fiscal multiplier wikipedia , lookup

20th Century Economic Theorists
• Recessions and depressions can occur from too
little aggregate demand for goods and services
• Inflation can occur because of too much demand
for goods and services
• Government can influence economic activity by
influencing aggregate demand through fiscal
and monetary policies
• Fiscal policy (changes in government spending
and taxes) is more powerful than monetary
policy (changes in the money supply and interest
• The government’s power to influence the economy is
limited and often ineffective
• Consumers, business leaders, and investors are
intelligent decision makers and take the effects of
government policies into account in deciding on their
• People’s actions often offset the effects of
government fiscal and monetary policies
• Many theorists emphasize the role of forward
looking expectations in affecting economic growth,
inflation, and unemployment