KEYNESIANISM

Student:
• Natalia Mucci
 MAIN PARTS

Author and
Example
Historical Postulates
context

Conclusion
 Author

• John Maynard Keynes (1883-1946)

• 1936. The General Theory of Employment

Interest and Money

• Founder of macroeconomics
 Historical background
• 1930-United States- Roosevelt
• Great Depression

• A decrease in production and an increase

in unemployment

• Classical economics could not explain the

recession
 Postulates
Increase consumption and investment

Through

Monetary Policy Fiscal Policy

Expansionary Monetary Policy
Expansionary Fiscal Policy

Expansionary policy
 UNITED STATES

NEW DEAL (1933-1939)

RELIEF REFORM RECOVERY

 RELIEF

POOR AND UNEMPLOYED

Work Progress Social Security Law

Administration
 RECOVERY

ECONOMY

Agricultural National Public Works

adjustment Recovery Administration
law Administration
 REFORM

BANKING SYSTEM FINANCIAL SYSTEM

Law of Federal Deposit Securities and

Emergency Insurance Exchange
Banks Corporation Commission
USA GDP USA UNEMPLOYMENT

GOLDEN YEARS OF CAPITALISM

 1970 CRISIS
• 1971- End of Bretton Woods
• Increase of imports
• Decrease in productivity
• 1973- Oil Crisis
• Fall of the stock market

Displacement of Keynesianism for

Monetarism and deregulation
 2008

Revived Keynesian thinking

Owing to

Financial Crisis
 CONCLUSION

• Model of government intervention

• “Demand Side” Theory
• Changes in short-terms
• Peak during Golden Years of Capitalism
• Keynesian thinking has returned.
Thank you for
your time!!