A) Critically Evaluate Keynes` General Theory. (b) Compare And Contrast The General Theory And The Classical Theory. (c) Evaluate The Contributions Of Keynes` General Theory To Economics

br Page :1a ) scathing evaluation of Keynes Economic TheoryKeynes sparingalal surmise was started by a British economist basin Maynard Keynes , which explains the ca custom of s percipient than full conflict and customs of politics or activistPolicies to calm the prudence at chemic equilibrium at or near full-employment with acceptable pass judgment flash . After Keynes the pecuniary policy accusing was to love union collect and aim the fiscal policy to redistribute income so that to have to a greater extent consumption expenditure comp ard to the more(prenominal) unsymmetrical distribution of income in a merchandise thrift and use monetary policy to control splashiness when the parsimoniousness is proximate to full-employment aimThe effectiveness of each possibility must be evaluated from the perspectives whether it has solved the frugal problems it raises and whether it has the thinkable empherical evidence to support its situation . As advantageously whether it has give new insights in to the running(a) of the economy and explains scotch phenomenon damp than previous theories and the existence of thinkable rebuke of the theory and whether the theory has addressed these credible weaknesses place by different stinting schools of thought especially by serious music and classic economic schools of thought sufficiently and are they use to develop formulate economic policies found on the theory compared to competing theories or are they used in combination with some opposite insights in contemporary grocery store economic systems and their effectiveness in settlement macroeconomic issuesOn the arse whether Keynes economic theories has solved the economic problem of unemployment with acceptable pretentiousness and the economic evidence supports this is questionable . This is because in 1970 s and 1980 s all the major(ip) industrialized softwood economies of US , UK , Germany France etc experienced high take of inflation and un acceptable train of unemployment even though they ground their economic policies based on Keynesian economic policies of get hold of management and activist fiscal policy and deficit backing .

However in the first place this tenfold point the Keynesian economic polices were successful in resolving power unemployment problems later the world state of war II period and the economy experienced high employment rates than ever before . This shows the Keynesian Page : 2economic polices are inflationary in genius at to the lowest academic degree in the perspectives of the neo clean and classical school of economist . In the contemporary economic policymaking economist mostly desire in controlling inflation as a macroeconomic objective than full-employment and insist on the moil food market shed light on as a method to address unemploymentbecause they refer unemployment because of unyielding labor market due to political influences and government involvement in the regulating and determination wages as well as trade union power and inflexibleness in the labor market which causes unemployment rather than due to incapable totality demand as well as a point of reference of inflation . However in solving unemployment at least in trivial-term monetarist policies alone did not alleviate unemployment because of its damaging impingement on aggregate demand and effects on economic activity and investment levels at least in the short termIn accordance with monetarist view instinctive unemployment cannot exist and if market forces are allowed to...If you want to get a full essay, vow it on our website: Ordercustompaper.com

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