January 23, 2017

Three sickening facts about Keynesianism

Comment on Lars Syll on ‘The inequality gap — five sickening facts’

Blog-Reference and Blog-Reference and Blog-Reference on Jan 24

Paul Davidson argues: “In the GT Keynes noted that the two major faults of the capitalist monetary system was (1) its failure to provide full employment and (2) its arbitrary and inequitable distribution of income and wealth.” (see post Jan 22)

The three facts about the General Theory are:
(i) Keynes messed up the employment theory, see ‘Mass unemployment: The joint failure of orthodox and heterodox economics
(ii) Keynesian deficit spending literally produced the extremely biased income distribution, see ‘Keynesianism as ultimate profit machine
(iii)  Post Keynesians neither detected nor rectified Keynes’s elementary mistakes/errors/ blunders but parrot them until this day, see ‘How Keynes got macro wrong and Allais got it right

Egmont Kakarot-Handtke