Here’s an interesting perspective against Keynesian theory for anyone else who’s into that kind of thing.
Keynesian theory sounds good, and it would be nice if it made sense, but it has a rather glaring logical fallacy. It overlooks the fact that, in the real world, government can’t inject money into the economy without first taking money out of the economy. Put more bluntly, Keynesianism only looks at one-half of the equation. It conveniently ignores the fact that any money that the government puts in the economy’s right pocket is money that is first removed from the economy’s left pocket. As such, there is no increase in what Keynesians refer to as aggregate demand. The bottom line is that Keynesianism doesn’t boost national income, it merely redistributes it.
I don’t know enough about economics to argue for or against this claim, but my history lessons say it can be a successful model for helping to stimulate an economy.
And since it looks like we’ll be finding out, let’s hope history repeats itself.
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I saw something somewhere where Keynes himself stated that his policy was a temporary thing. The problem I see is that Dems especially have deemed it a long term strategy. hence our cities are what they are