How the Economy Works Confidence Crashes and SelfFulfilling Prophecies (Audible Audio Edition) Roger E A Farmer John Curran Audible Studios Books
Download As PDF : How the Economy Works Confidence Crashes and SelfFulfilling Prophecies (Audible Audio Edition) Roger E A Farmer John Curran Audible Studios Books
"Of all the economic bubbles that have been pricked," the editors of The Economist recently observed, "few have burst more spectacularly than the reputation of economics itself." Indeed, the financial crisis that crested in 2008 destroyed the credibility of the economic thinking that had guided policymakers for a generation. But what will take its place?
In How the Economy Works, one of our leading economists provides a jargon-free exploration of the current crisis, offering a powerful argument for how economics must change to get us out of it. Roger E. A. Farmer traces the swings between classical and Keynesian economics since the early 20th century, gracefully explaining the elements of both theories. During the Great Depression, Keynes challenged the longstanding idea that an economy was a self-correcting mechanism; but his school gave way to a resurgence of classical economics in the 1970s - a rise that ended with the current crisis.
Rather than simply allowing the pendulum to swing back, Farmer writes, we must synthesize the two. From classical economics, he takes the idea that a sound theory must explain how individuals behave - how our collective choices shape the economy. From Keynesian economics, he adopts the principle that markets do not always work well, that capitalism needs some guidance. The goal, he writes, is to correct the excesses of a free-market economy without stifling entrepreneurship and instituting central planning.
Recent events have shown that we cannot afford to treat economics as an ivory-tower abstraction. It has a direct impact on our lives by guiding regulators and policymakers as they make decisions with far-reaching practical consequences. Written in clear, accessible language, How the Economy Works makes an argument that no one should ignore.
How the Economy Works Confidence Crashes and SelfFulfilling Prophecies (Audible Audio Edition) Roger E A Farmer John Curran Audible Studios Books
Farmer's research is really interesting, but this book is a failed attempt to translate that research to a popular audience. He has interesting ideas that macroeconomists should take seriously, but this book is a waste of time for professionals and non-professionals alike. Hopefully someone will popularize his work since Farmer truly is the heir to Keynes.Product details
|
Tags : Amazon.com: How the Economy Works: Confidence, Crashes and Self-Fulfilling Prophecies (Audible Audio Edition): Roger E. A. Farmer, John Curran, Audible Studios: Books, ,Roger E. A. Farmer, John Curran, Audible Studios,How the Economy Works: Confidence, Crashes and Self-Fulfilling Prophecies,Audible Studios,B019S1SRHO
People also read other books :
- Y POR QUÉ NO Del gimnasio a la Titan Desert (Spanish Edition) Abel Rodriguez, Ecequiel Barricart 9781520938707 Books
- Defect Structure in Nanomaterials (Woodhead Publishing in Mechanical Engineering) (9780857092069) J Gubicza Books
- Reflexões para Elas Uma Nova Mente (Portuguese Edition) Marcielle Cristina De Sousa Barbosa Santiago 9781520598796 Books
- Back on the Fire Essays - edition by Gary Snyder. Literature & Fiction eBooks @ .
- Hot Rods Adult Coloring Book Jordan Biggio 9781534622401 Books
How the Economy Works Confidence Crashes and SelfFulfilling Prophecies (Audible Audio Edition) Roger E A Farmer John Curran Audible Studios Books Reviews
I've always wanted to read a highly condensed version of economic thought, and here it is. At the end of this, I think it's fair to say one will understand the philosophical differences underlying Keynesian and classical economics approaches, particularly as these relate to the issue of unemployment. Current economic debates become clearer with these understandings. I've never cared much for mathematical economics, and this book bypasses all that.
It's so condensed that it really requires very careful reading. One of the 2 star raters stated it's not really an introduction to economic thought. I have to agree somewhat; if one wishes to appreciate this book, one already needs to have fairly good economics background. ¾ of the book is about history of economics thought, and the remaining ¼ contain some of author's view. So, you can imagine how condense--essentially a tiny paperback covering the history of economic thought and being able to interject the author's view.
I have to give it a 5 star because by being condensed, it values the reader's times
This thought-provoking book provides a historical characterization of the major influences that two schools of thought, called the Classicists and the Keynesians, have had on macroeconomic thinking, and their contributions to the perceived roles and tools available to governments and regulators in times of economic fluctuations, with special attention to how these entities should grapple with unemployment.
According to the Classicists, an unregulated capitalist economy is a self-correcting system; unemployment results from a temporary imbalance in free-market forces that will self-heal without government intervention.
During the Great Depression, however, unemployment was extraordinarily high for an extended period of time, prompting Maynard Keynes to assert that high unemployment rates over an extended period of time was incompatible with an efficient markets theory which implied that whatever the source of imbalance, a self-correcting economy will quickly return to full employment.
Keynes proposed a different explanation of what caused the depression. According to him, a spontaneous fall in investors' confidence about the future caused a stock market crash and a drying out of private investment expenditures, which in turn caused unemployment rates to remain high for a prolonged period of time. Keynes' proposed remedy for such a situation was if private investment expenditure is too low, it must be replaced by government investment expenditure. Thus was born the concept of deficit spending in support of stimulating an economy.
Although the Keynesian fiscal policies adopted by the Franklin D. Roosevelt's administration were deemed successful in restoring full employment, post-Roosevelt / post-World War II experiments with deficit spending were less successful. During the 1960's, the United States became entangled in an unpopular Vietnam War that was difficult to finance by raising taxes. The government resorted instead to ever larger increases in government borrowing to pay for military expenditures.
Keynesian theory predicted that these deficits should have led first to full employment, and only then to inflation. But high unemployment and inflation rates co-occurred (a condition named "stagflation") during the 1970's, and this phenomenon discredited Keynesian theory, which in turn led to the resurgence of the Classicist theory, until we find ourselves in the present day, trying to divine how to dig ourselves out of yet another deep recession and many are asking To "Keynes" or not to "Keynes", that is the question.
Or is it? Do we have to let the pendulum swing back to Keynes? What are the stakes? Professor Farmer shares with us his opinions of what caused the current recession, what parts of the Classicist and Keynesian theories integrate with his views and how his views improve on them, what our government and regulators should and shouldn't do and why. In the last chapter in particular, he introduces a relatively new tool that he thinks the U.S. Federal Reserves should use to help combat economic fluctuations.
The book is not exactly an easy read, even though the author had meant it to be more accessible to non-economists than academically-oriented books. It is not jargon-free, but the author does a pretty good job explaining terms, concepts, and theories. The biggest problem I had with the book was this the author tried very hard to cover a lot of stuff (e.g., various tweaks to both the Classicist and Keynesian theories) in a short amount of space so he tended to offer only brief explanations and to go over stuff in a fast pace; for the uninitiated, this can actually be a little bit overwhelming. It can also be unsatisfying, because if you want to dig deeper, you either need to consult other sources for general economic terms, or for concepts / ideas particular to his own views, you may have to wait for his * OTHER * book to come out, and hopefully, THAT book will offer the kind of details you need or desire.
America and the world are in quite a rough spot economically right now. It is certainly not the worst the world has seen, and it is likely to get better, but it is possibly the worst most of us can remember. In the face of troubles like this, it would be helpful to understand the economic forces at work. Author Farmer, though, goes beyond that. He feels (rightly) that it is our duty as responsible citizens to understand the combination of forces at work so that we can respond correctly and choose wisely at the ballot box.
Farmer is a Keynesian. Don't worry if you don't know the difference, as the author explains in clear language what the difference between classical "free market" economists and John Maynard Keynes is. His explanation, summarized, is that classical economists believe that free markets will "find equilibrium" or that they will correct themselves eventually, whereas Keynes felt that it was the responsibility of governments to push national economies one way or another to prevent or lessen the wild gyrations a free market can sometimes develop, and which often are the changes which hurt individuals.
Farmer also explains the role of the Federal Reserve Bank, and it seems that his opinion is that the Fed gets too much credit when things are good and too much blame when things are bad. The Fed, he correctly points out, has few tools to control the economy at their disposal, and the tools that they have are weak. Farmer argues that this is not a bad thing, as the Fed is not the proper entity to be affecting significant change anyway; that is the role of elected and accountable governments.
The book is short, clearly written and fairly easy to understand. It gives a review of the major schools of economic thought, and argues clearly for Keynes over classical economics. You can learn a lot in a few pages, but be sure to read a few more books on Economics to get the full perspective and decide for yourself which you believe.
This item arrived very quickly. The item arrived exactly as I expected. Thank you very much for the timely fulfillment.
Farmer's research is really interesting, but this book is a failed attempt to translate that research to a popular audience. He has interesting ideas that macroeconomists should take seriously, but this book is a waste of time for professionals and non-professionals alike. Hopefully someone will popularize his work since Farmer truly is the heir to Keynes.
0 Response to "[6OD]⇒ PDF Gratis How the Economy Works Confidence Crashes and SelfFulfilling Prophecies (Audible Audio Edition) Roger E A Farmer John Curran Audible Studios Books"
Post a Comment