Big Government Is Not Stimulus: Why Keynes Was Wrong (The Condensed Version)

I am so tired of leftist keynesians and even conservative keynesians which includes supply siders. Austrian economics is the future. they have the track record that make keynesians blush. Viva Market liberalism!

Not trying to argue the validity of Keynesian theories, but I don't think you understand how our government prints money. The fiat system allows our government to print it from thin air, it needs no physical backing.

Keynes would be printing money right now so shut up. Mises was disproved as a cult religion a LONG time ago.

Perhaps Keynes deliberately erred in order to play his part in ushering in global government. He was a Fabian Socialist.

"Lenin was certainly right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose."

- John Maynard Keynes, Economic Consequences of the Peace, 1920, p. 236

The flaw in Idgoopobad's belief that government spending can help the economy is that the government can only take money out of the economy to put back in the economy, whether it be borrowing, taxing or printing of money. It is a zero sum game. Virtually all countries, communist or democratic that embraced Keynes have now recognized that is is a failed concept and have moved to free market. FDR didn't solve the depression, he extended it only to be saved by WW II.

Inflation is the increase in the money supply. I think it's helpful to promote economic understanding to separate increase in the money supply from a rise in prices.

You are right that an increase in money without an equal increase in goods (who could coordinate this across all goods?) will lead to rising prices.

Think about this - inflation benefits creditors and debtors, deflation benefits savers.

By creditor, I mean the few legally authorized to create money - banks. You and I can't.

May I politely recommend mises (dot) org? Spend a month just reading posts on the site. Might change your mind. I found "Great Myths of the Great Depression" by Lawrence Reed helpful (it's short at 19 pages). FDR's policies prolonged the economic disaster Hoover began.