Write in English, Stupid!

Who is the founder of Keynesian economics? Of course, it is John Maynard Keynes. And when did his theory see the light of day? In 1936, of course, when Keynes published his main work, “The General Theory of Employment, Interest and Money”. Rooted in the experiences of the Great Depression, Keynesianism has called for deep engagement of the State in economic activity, mainly through fiscal policy (i.e., government spending). The goal should be (and this is what politicians who claim to be Keynesians often forget about) to smooth business cycles – spending in times of busts, but saving during booms. All this should be known to everybody who has at least a slight idea about the history of economics. But I bet that not many know that Keynes’s theory was not new when he published it. It was new to him, and it was new to the biggest part of the public – but there had been somebody who had developed a highly similar theory a few years earlier. Continue reading