A Crisis Helped Create Modern Macroeconomics
The economics of the great depression helped create macroeconomics as a separate field. John Maynard Keynes argued that whole economies could get stuck with high unemployment when aggregate demand was too weak.Economics: Why Keynes Changed the Debate
Why the Economy Might Not Fix Itself
Keynes said weak demand could keep production and employment below healthy levels. Even falling prices and central-bank actions might not be enough in some situations.Economics: Why Keynes Changed the Debate
