Keynesian economics is the perpetual motion machine of the left. You build a model that assumes government spending is good for the economy and you assume that there are zero costs when the government ...

Robert Kelly is managing director of XTS Energy LLC, and has more than three decades of experience as a business executive. He is a professor of economics and has raised more than $4.5 billion in ...

Former Norman B. Ture Senior Fellow in the Economics of Fiscal Policy J.D. served as the Norman B. Ture Senior Fellow in Economics of Fiscal Policy The global economy is in a deep, synchronized ...

Discover the concept of underemployment equilibrium in economics, its effects on unemployment rates, and why it persists. Explore Keynesian insights into economic downturns.

Keynesian economists believe that government deficit spending can increase economic activity and help an economy recover from a recession. Classical economists dispute this, focusing their attention ...

The fundamental principles of economics are based on human nature and do not change regardless of how they are interpreted. People behave certain ways on an individual and societal level based on the ...

Last week, the Congressional Budget Office released a report claiming that the $814 billion "stimulus" has added 3.4 million net jobs. This surely comes as a surprise to the 3.5 million Americans who ...

British economist, John Maynard Keynes (1883-1946) wrote his seminal "The General Theory of Employment, Interest and Money" in 1935. This book has been the cornerstone of economic practice for many ...

The Heterogeneous-Agent New Keynesian literature has revisited the transmission of monetary and fiscal policy to consumption using models where heterogeneous households face idiosyncratic income risk ...

Central banks use macroeconomic models to help frame the issues that they face, to mold their ideas, and to guide them in their decisionmaking. While a wide range of models are available, economists ...

Keynesian economists (of all stripes) want fiscal policy (essentially, government budgets) to increase consumer demand. This thinking has several problems. Keynes argued, however, that money borrowed ...

Keynesian economic theory comes from British economist John Maynard Keynes, and arose from his analysis of the Great Depression in the 1930s. The differences between Keynesian theory and classical ...