August 9, 2018

#DeleteKeynes #ExpelAllKeynesians

Comment on Asad Zaman on ‘Methodology of Modern Economics’


• The formal basis of the General Theory is given with “Income = value of output = consumption + investment. Saving = income − consumption. Therefore saving = investment.” (p. 63)

• This proposition is conceptually/logically false because Keynes NEVER came to grips with profit.

• Because the foundational economic concepts of profit/income/saving are miss-specified, the whole theoretical superstructure of Keynesianism in all its variants is false.

• Keynes messed up the inexorable Paradigm Shift from microfoundations to macrofoundations.

• Keynes was an agenda pusher, NOT a scientist. Keynesian policy guidance has NO sound scientific foundations and in effect enables the self-alimentation of the Oligarchy.

• The extremely unequal distribution of income and financial wealth is the direct result of public deficit spending. It holds Public Deficit = Private Profit.

• After-Keynesians have not detected/rectified Keynes’ blunders to this day. Macroeconomics ― profit and employment theory, in particular ― is materially/formally inconsistent.

Keynesianism is scientifically worthless. All Keynesians have to be expelled from the sciences.

• The same holds for Walrasians, Marxians, Austrians, and Pluralists.

For details of the big picture see cross-references Keynesianism

Egmont Kakarot-Handtke

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