Veblen and Keynes

In: International journal of politics, culture and society, Band 13, Heft 2, S. 169-186

Abstract

The economic perspectives of Thorstein Veblen & John Maynard Keynes are compared, arguing that, not only is there considerable agreement between the two men, but Keynes built on most elements of Veblen's economic theory. Topics include aggregate demand, determination of output & employment, determination of price level & inflation, monetary theory of production, the business cycle, & uncertainty & the future of capitalism. Both men denounced equilibrium economics, but Veblen stressed evolution/conflict while Keynes relied on uncertainty. Veblen saw the world constantly changing in unknown directions & believed that capitalism should be abolished, but Keynes believed that rational intervention could direct the course of social change & correct the inherent instability of the free market economy. 44 References. J. Lindroth