The Economics and Politics of Keynes

1
The Economics and Politics of Keynes

• Dr Maurice Mullard
• 5 November 2009

2
THE PRINCIPLES OF KEYNESIAN ECONOMICS

• THE CONCEPT OF A KEYNESIAN REVOLUTION
• Keynes criticisms of Bank of England and decision
  to return to gold
• The problem of demand
• Problem of Liquidity

3
LABOUR MARKETS

• Explaining Unemployment Wage Stickiness Limits of
  reducing wages
• Keynesian Explanations of recessions
• Markets adjust but in the long term we are all
  dead

4
ROLE OF INTERVENTION

• ECONOMIC POLICY THE CIVILISED ECONOMY
• UNEMPLOYMENT AS THREAT
• WAGES POLICY AND INFLATION
• COMMITMENT TO FULL EMPLOYMENT

5
KEYNESIAN FULL EMPLOYMENT

• THE COMMITMENT OF GOVERNMENT
• ACCEPTING THE ROLE OF INTERVENTION
• MAINTAINING BALANCED BUDGETS
• PUBLIC EXPENDITURE
• TAXATION

6
KEYNESIAN ECONOMICS AND SOCIAL POLICY

• THE ASSUMPTIONS OF BEVERIDGE
• POVERTY AND UNEMPLOYMENT
• INCOMES POLICY
• THE GOLDEN AGE 1950 TO 1974

7
THE COLLECTIVIST LEGACY

• INCOMES POLICY AND TRADE UNIONS
• THE IDEA OF THE SOCIAL WAGE
• INCOME DISTRIBUTION
• TRIPARTITE STRATEGIES

8
THE POST WAR KEYNESIAN SUCCESS

• THE ECONOMIC EXPERIENCES OF 1950S AND 1960S
• THE NEVER HAD SO GOOD ARGUMENT
• THE PROBLEM OF ECONOMIC DECLINE
• TRADE UNION MILITANCY

9
THE 1970S AND THE END OF A KEYNESIAN ERA

• STAGFLATION UNEMPLOYMENT AND INFLATION
• RETURN TO MARKETS
• 1980S BACK TO MARKET LIBERALISM

10
RECESSION 2009

• BACK TO KEYNES AND WHY
• THE RELEVANCE OF KEYNES
• EUROPE US AND UK RESPONSES
• AVOIDING 1930S DEPRESSION
• UK POLITICS