The Evolution of Macroeconomic Theory and Policy

Description

The Great Depression of the 1930s gave birth to a branch of economics that in 1933 Ragnar Frisch christened macroeconomics. Over the decades that followed up to the present, the interactions of economic events, economic policy, and macroeconomic theory have created a fascinating story integral to the life and politics of national economies around the world. This book recounts that story. It brings together three strands of activities and trends: the economic events of the twentieth and twenty-first centuries that defined the economic problems facing the nation, policymakers, and economists; the responses of economists who brought the accumulated knowledge of the profession to bear on these problems; and the successes and failures of these policies as they reshaped the economic landscape and defined new sets of problems to be analyzed by macroeconomic theory. This highly readable book presents an unconventional perspective on macroeconomics – the interplay of theory and policy in a historical context. Front Matter....Pages i-xiii The Great Depression and Mr. Keynes Keynes, John Maynard ....Pages 1-27 The Post-War Economic Order....Pages 29-44 Laying the Foundations of Keynesian Economics....Pages 45-83 Keynesian Economics in Action....Pages 85-101 Macroeconomics of an Open Economy....Pages 103-116 The Collapse of Post-War International Economic Order....Pages 117-130 The New Classical New Classical Revolt Against Activist Economic Policy....Pages 131-151 Business Cycles Business Cycles : Evidence, Theory, and Policy....Pages 153-177 Money, Monetary Policy, and Monetarism Monetarism ....Pages 179-199 Government Budget and Fiscal Policy....Pages 201-212 The Reagan- Reagan, President Ronal Thatcher Thatcher, Margaret Revolution Reagan-Thatcher Revolution : The Age of Hayek Hayek, Friedrich and Schumpeter Schumpeter, Joseph ....Pages 213-230 Macroeconomics of Globalized Economies....Pages 231-239 The Financial and Economic Crisis of 2007–2009....Pages 241-260 Back Matter....Pages 261-269