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Paper #007713 :: The Keynesian Theory and the Great Depression
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A study of the theories of economist John Maynard Keynes and their connections with the Great Depression.

Written in 2002; 1,220 words; 5 sources; MLA; $ 41.95

Paper Summary:

The paper discusses the theories of John Maynard Keynes who is known as the "father of modern economics". He was the first economist who precisely described some of the causes and cures for recessions and depressions. The paper explores some of the effects his theories had on the Great Depression such as the Employment Act and the Council of Economic Advisors. It also shows the effects of his theories on World War II and provides a time-line for the Great Depression.

From the Paper:

"Thus, according to Keynes, the solution that he bought through his theory was for the government to goose up its spending in any way it can either by printing money, cutting taxes, or increasing spending itself. He believed in supply and demand, which was an indirect way to let the economy balance itself. In his theory he not only convinced that in order to work for this system to work people needed money, which could only be done by creating jobs. He further believed that in order to reduce unemployment the government needed to increase the total demand, which is the total amount of goods being demanded. "

Tags: United States Federal Reserve Gold Standard

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