Econstories.tv is a place to learn about the economic way of thinking through the eyes of creative director John Papola and creative economist Russ Roberts. In Fear the Boom and Bust, John Maynard Keynes and FA Hayek, two of the great economists of the 20th century, come back to life to attend an economics conference on the economic crisis. Before the conference begins, and at the insistence of Lord Keynes, they go out for a night on the town and sing about why there’s a “boom and bust” cycle in modern economies and good reason to fear it. Get the full lyrics, story and free download of the song in high quality MP3 and AAC files at: www.econstories.tv Plus, to see and hear more from the stars of Fear the Boom and Bust, Billy Scafuri and Adam Lustick, visit their site www.billyandadam.com Music was produced by Jack Bradley at Blackboard3 Music and Sound Design. It was composed and performed by Richard Royston Jacobs. http **Charging Bull© Arturo dimodica, 1998
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@brandeis1000
One is legal, the other is not. That’s really the only way they differ.
Of course legal/illegal is an opinion rather than a factual difference.
@naughtyplanet
Have you read Human Action by Ludwig von Mises?
If not you are really in no position to criticize the Austrian position, and whatever flaws you think it has is likely a straw-man.
@naughtyplanet
Basically, Keynesianism does favor breaking glass in order to keep the glass-makers in businesses.
The Keynesian business cycle perpetuates itself. When the economy is going well, people treat it like a good sausage, they don’t want to look behind the scenes, they just want to eat.
When it’s not going well, Keynesianism is there with a “solution” every time. They just want to forestall the next crash long enough so people stop paying attention again.
@EconStories
Keynes wasn’t as bad as his followers, I agree with that.
He also favored fiscal restraint in good times, but everyone who follows him in bad times just wants to spend money in good times.
So the character in this video is more like them than Keynes himself.
MORE MORE MORE!!!!!!! This is excellent! nice work… what else have you got in the pipeline??
Of course, those “sticky wages” were largely a result of government intervention, as well as general price supports, which kept the economy from readjusting.
Part of the problem is that the failures of Keynesian policies can take years to manifest. For example during the 1960s the US government inflated its way out of every downturn, and to the untrained observer it therefore seemed like a decade of prosperity, even as it laid the groundwork for stagflation in 70s. This should have been the final straw for the Keynesian idea, but it was merely superseded by monetarism, which is essentially quasi-Keynesianism.
Check out K”Author on my channel, he’s bringing hip hop back
Well done!!!!!!
Taxation is theft.
You don’t know what ad hominem means, do you? The fact that the majority of economists worldwide ignore the Austrian school because they think it’s useless nonsense indicates that it is, in fact, useless nonsense.
@farminmike Man, it’s fantastic. It’s like Luke vs. Darth Vader for me.
yeah sorry, I was confusing classical with neoclassical
Helping the economy and fixing it are 2 different things, and the gov’t is doing the former. There is also a difference between what Keynes believes and how he is interpreted by individuals, so I don’t know where this supposed Keynesian notion is coming from. And it is more complicated than that because that is not what Keynes was teaching. You are generalizing and then saying it is more complicated, well duh.
I hope for your sake you don’t run a business, lol. A non-profit organization would be fine though.
People pay taxes for gov’t services, a legal system, property rights, and security (although this can differ among nations). If they really didn’t want to pay taxes, they could become Amish or leave the country, lol.
I also don’t think it is correct to say that parts of macro is common sense; you are basing this on contemporary knowledge, not historical. You also do not state who would find this common sense. I don’t think you can say anything is common sense or common knowledge if it is not supported by the 5 W’s.
So mass genocide is caused by the economy? I don’t think so, at least not in all cases. Although economic incentives can indeed create wars, you are downplaying ideology.
“By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. There is no subtler, more sure way 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 in which not one man in a million is able to diagnose.” — John Maynard Keynes
thats just idiotic
I can’t seem to find your comment I was referring to but it was along the line of ‘the austrians are the least popular school of economics’. Just because the school of thought may be unpopular, it doesn’t necessarily mean that their work is wrong. Sorry, but this IS an ad hominem fallacy. The validity of their theories can’t be proved wrong by their popularity.
You did not add “because they think it’s useless nonsense”, and even if you did it’s still an ad hominem or an argument from authority. That’s all that I was saying, but you seem to have done it twice.
Keep driving the bandwagon.
please elaborate. As far as i can see, there is no ad hom or appeal to authority here. True, the fact that the world views austrian economics as nonsense does not mean it is the case, but you seem to be gunning for a completely different line here. Please explain, as i am intrigued.
No, as I said, that’s all that I was saying.
you originally said: “Reminder: the Austrian school is an outdated, mostly abandoned minority viewpoint among today’s economists.
I said: “although you may be right, don’t let that proposition be used as an ad hominem against the theories of the Austrian School. ”
I wasn’t gunning for anything else.
I didn’t say that what you said was an ad hom, just don’t use it as an argument against them.
Your reply back to me WAS an ad hom.
“The fact that the majority of economists worldwide ignore the Austrian school because they think it’s useless nonsense” ~ Ok, might be a simple fact
Now note the word indicates:
“indicates that it is, in fact, useless nonsense. ”
Therefore:
The Austrians work is useless nonsense because of the fact that the majority of economists think it is useless nonsense.
Ad Hominem