Keynes was an economist and famous. Sometimes he was right.
Sometimes he was wrong, very wrong, disastrously wrong. Perhaps it is more
important to understand how dangerous he was than the points in his favour.
Kevin Dowd, a professor of
economics agrees in essence. See below at
Lessons from the Financial Crisis
or his talk, in full at
idea that governments will not print money in order to waste it is WRONG! But
then Keynes was not a psychologist. He did go the other way, by taking to women. This is
not to say that he gave up on boys. He wrote about the appalling mess that
the Versailles Treaty. See
Economic Consequences of the Peace, by John Maynard Keynes. He was on the right lines there.
PS Someone else thinks he is wrong - see Seduced By Keynes Sweet Nothings
Keynes Explains Gold - Keynes Gets It Wrong
In truth, the gold standard is already a barbarous relic. All of us, from the Governor of the Bank of England downwards, are now primarily interested in preserving the stability of business, prices, and employment, and are not likely, when the choice is forced on us, deliberately to sacrifice these to the outworn dogma, which had its value once, of £3:17:10½ per ounce. Advocates of the ancient standard do not observe how remote it now is from the spirit and the requirements of the age. A regulated non-metallic standard has slipped in unnoticed. It exists..............
Therefore, since I regard the stability of prices, credit, and employment as of paramount importance, and since I feel no confidence that an old-fashioned gold standard will even give us the modicum of stability that it used to give, I reject the policy of restoring the gold standard on pre-war lines. At the same time, I doubt the wisdom of attempting a "managed" gold standard jointly with the United States, on the lines recommended by Mr. Hawtrey, because it retains too many of the disadvantages of the old system without its advantages, and because it would make us too dependent on the policy and on the wishes of the Federal Reserve Board.
Keynes was half right and half wrong; disastrously so. He spoke in favour of stability while unleashing the forces of greed. Politicians were able to buy temporary prosperity by running the printing presses faster. In Germany it was Hyperinflation. In England it is being done more slowly, but the effect is the same. It is just like Counterfeiting, major crime when honest men do it but governments give themselves a pass on it. It has been used to reduce the value of the American dollar by some 98% since the Federal Reserve was set up.
Lessons from the Financial Crisis
Underlying a stable financial system, we also want a sound monetary standard and again the 19th century provides a role model. This was the Golden Age of the gold standard.........
Keynes famously told us that the gold standard was a relic of a barbarous age, and reassured us that modern governments were much too sophisticated to debase the currency. Modern governments were not like impecunious Roman emperors or medieval kings.
The results were catastrophic, but Keynes was right about one thing. Modern governments were not like Roman emperors or medieval kings: they were much worse, and produced much greater inflation rates than their predecessors ever managed to achieve.
Smooth talking comedians with brains impose themselves on fools, who are running on habit, driven by greed then it all goes horribly wrong.
He looks cunning and ugly.