Abstract This paper explains that basic Keynesiantheory states that, ?in a normal economy,? there is a high level of employment, and everyone is spending salaries as usual, which means there is a circular flow of money in the economy. The author points out that, according to Keynes, if stock market prices rose sharply, this would be an indication that the economy was looking up and that consumers were willing to spend more. The paper responds that, if Congress passes an increase in income tax rates to take effect next year, according to Keynes, the effects of this measure should be salutary, if the increased funds are accrued by the federal government and utilized properly to create jobs by expanding the government programs of public works.
Table of Contents
Overview of KeynesianTheory and the Current U.S Economic Situation
Hypothetical Occurrence 1#: The stock market prices rise sharply.
Hypothetical Occurrence 2#: The Conference Board's Index of Consumer Confidence falls for the fifth straight month.
Hypothetical Occurrence 3#: The rate of capacity utilization rises.
Hypothetical Occurrence 4#: The government institutes a 10% investment tax credit retroactive to the start of the year.
Hypothetical Occurrence 5#: Congress passes an increase in income tax rates to take effect next year.
From the Paper "Keynes stated that ?in a normal economy,? there is a high level of employment, and everyone is spending salaries as usual. This means there is a circular flow of money in the economy. Individual spending becomes part of total earnings. Total earnings become part of the total spending, generating profits. When something happens to shake consumer confidence in the economy, consumers begin to save their money. Because consumer spending is part of other consumer's earnings, consumer's decisions to hoard money cause retailers to spend less and to lay off employees. Responding to these difficult times, ?other consumers resort to hoarding money as well.? "
Abstract This paper explores the evolution of Keynesiantheory within economics from the initial model to Post Keynesians. The use of money, employment and interest rates are used to chart these changes.
Abstract This paper examines KeynesianTheory and government spending, discusses the stimulus packages presented by the Bush Administration, and evaluates the results the administration's supply side approach will have on the economy.
This paper discusses the similarities and dissimilarities in the old and the new Keynesiantheories, thereby concluding that Keynes was a true Keynesian.
Abstract This paper explains that the old Keynesians and the new Keynesians of the 1990s presume that both prices and wages tend to be stringent over a short period; as a result, the amount or the quantity of output begins to adjust itself according to the changes observed in the aggregate demand. The author points out that the major reason for the split in thought is the fact that John Maynard Keynes left his analysis of the "General Theory of Unemployment" incomplete. The paper relates that both groups have discussed and explained the saving mechanism and its impact; but, where old Keynesians evidently opposed saving, the new Keynesians gave many pro saving statements.
From the Paper "Mankiw, the leader of the new Keynesians, explains and makes use of the fundamental tools involved in the Keynes general theory including IS and LM curves, aggregate supply and aggregate demand, and the multiplier and accelerator. However, unlike the old Keynesians, Mankiw, his subordinates and colleagues sought benefit of the economy in the saving approach. Where old Keynesians saw a marked decrease in the output levels due to savings, Mankiw claimed and showed how saving at a high rate can cause the output levels to soar. Making use of the "Solow growth model", Mankiw explained and established a clear link between saving phenomenon and higher levels of output as well as the resultant "steady-state capital stock" in the following words: ?the saving rate is a key determinant of the steady-state capital stock."
Abstract This paper discusses the environment which gave way to the birth of the Keynesiantheory. Moreover it discusses the differences between the classical theory and the Keynesian one. The paper ends by narrating the Keynesian explanation of the Great Depression and the accompanying solution
Abstract This paper discusses how prior to the Keynesian revolution, many economists and politicians viewed economics from a "micro" perspective. They saw factors such as unemployment, interest rates, profit and loss as related to individual organizations and the impact of individual transactions. It looks at how in modern times, the idea of macroeconomics is much more widespread and the impact of economic endeavors is viewed as part of an economic whole, or national/global approach. It analyzes how part of the credit for this much more diverse and broad view is due to the efforts of John Maynard Keynes, through his publications and the ?Keynesian Revolution.? It shows how John Maynard Keynes was a pioneer of his time, revolutionizing economic thought and introducing the idea of macroeconomics.
Outline
Introduction
History of Economic Theory The Keynesian Revolution: A Turning Point
Key Concepts Related to KeynesianTheory General Ideas Related to Economic Theory Criticisms of KeynesianTheory Responses to Criticisms
The Keynesian Revolution Revisited
The Significance of the Revolution
Analysis and Summary of Keynesian Revolution and Criticisms of John Maynard Keynes Model for Economy
From the Paper "Keynes felt that unemployment was instead caused by a lack of demand for a particular production or services, rather than imbalance within the labor market. This makes perfect sense to modern day economic theorists, but was a huge leap at the time proposed.
Keynes argued also that there was no reason for recessions and depressions to occur. Keynes assesses that prevention of a decline in the economy relied on maintaining a balance of income and expenditures. Critics during the 1930's still felt adamantly that unemployment could only be explained by wage rates.
Some political theorists and economists such as Friedman and like- minded economists, argued that increasing demand for productions and services would only affect employment if the wage rates fell in accordance with falling prices. Others such as David Lilien argued that "sectoral shifts" accounted for half of cyclical unemployment that were have been thought to be caused by shifts in demand (Galbraith)."
Abstract This paper explains, in contrast to the classical view that demand should be held relatively stable or static, Keynes believed that government spending was necessary to inflate production and infuse the economy with necessary dollars; the Neo-Keynesians applied neoclassical economic theories of monetary policy and the micro economy to Keynesian economics regarding the macro economy. The author defines the 'price output puzzle' as "why do not suppliers reduce prices rather than reduce supply?" This paper concludes that the major three functions of both the Keynesian and Neo-Keynesiantheories, which include the consumption function, the investment function, and the liquidity preference function, should all be considered simultaneously, viewing the economy in a holistic fashion.
From the Paper "Specifically, the first Neoclassical-Keynesian Synthesis is another way of referring to the Neo-Keynesian Revolution of the so-called IS-LM Model. The IS-LM model represents John Maynard Keynes's General Theory in the form of a system of simultaneous equations "The IS-LM model has remained one of the most formidable pieces of pedagogic machinery and, as far as back-of-the-envelope diagrammatic reasoning is concerned, one of the most efficient ever devised in economics. It is not, however, without substantial problems, both as an internally consistent model or as a representation of Keynes's theory." In other words, this Neo-Keynesian school works wonderfully in theory, but not so well in fact."
Abstract This paper discusses and analyzes both the New Keynesiantheory of economics and the Neo-Classical concept of economics, explaining that both approaches have some benefits and some flaws. The paper concludes that the New Keynesiantheory is geared to short term solutions and does not appear to be able to handle much variation in events while the Neo-Classical concept borrows from the Keynes theory and the Classical theory and seems more prepared to handle long term issues.
From the Paper "In the 1940s and 1950s Keynesian analysis was developed to provide good policy guidelines. However, in the 1970s, the economy went into a period of stagflation and the analysis developed in the earlier decades did not work. Younger economists declared that Keynesian economics was dead. Hi-tech forms of classical economics were resurrected as a framework to eliminate government responsibility for maintaining full employment."
Examines Marshall's contributions to Keynesiantheory including the concept of expectations, monetary theory, quantity of money, liquidity preference. Discusses the impact of theories of Adam Smith, David Ricardo, John Stuart Mill and others.
8,100 words (approx. 32.4 pages), 32 sources, 1999, $ 135.95
Abstract The purpose of this research to consider the Marshallian contribution to the Keynesian argument. These contributions are related primarily to the concept of expectations, and to monetary theory. With respect to monetary theory, the emphasis in this research is on quantity of money and liquidity preference.
From the Paper "THE MARSHALLIAN CONTRIBUTION TO THE KEYNESIAN ARGUMENT
Introduction
The purpose of this research to consider the Marshallian contribution to the Keynesian argument. These contributions are related primarily to the concept of expectations, and to monetary theory. With respect to monetary theory, the emphasis in this research is on quantity of money and liquidity preference.
Background
The Great Depression of the 1930s ushered in unemployment levels of 25 percent and higher in the United States and other industrial economies, and prevailing economic models appeared to be incapable of explaining economic developments (Eisner, 1994, pp. 211-229). It was into this economic morass that John ..."
Abstract This paper explains that Keynesian economics would not be so optimistic regarding Bush's dividend tax cut proposal primarily because of their assumption that investment spending is driven more by expectations of future profits that are difficult to forecast. The author believes that the Bush tax plan essentially agrees with Keynes regarding the important role of consumer demand in stimulating the economy. The paper points out that Keynes and Bush radically differ on which category of consumers should receive the benefits of the tax cut: Bush is clearly placing more money in the hands of the wealthy.
From the Paper "Keynes disagreed with supply-side methods for promoting vast degrees of income inequality. Instead, shifting income from high savers to high spenders, Keynes argued, would increase investment since firms would have more reason to add increased production capacity. Keynesians advocate using "automatic stabilizers" to counteract alleged instability in the economy. Keynesians argue that progressive income taxes and welfare payments counter variations in aggregate demand. Progressive income taxes and Welfare transfer income from upper income households to lower income households. Since upper income households save more of their income and low-income households consume more of their income, these practices keep aggregate saving low and aggregate consumption high."
Abstract This paper introduces Rima's paper who is a professor at the Temple University. It looks at how Rima connects the rise of Keynesiantheory in a kind of continuum, moving through to the present reality of the People's Republic of China (PRC) and also, the shift of former Soviet bloc countries of Eastern Europe towards privatization and capitalist planning.
Abstract This paper explores the relationship between Keynesiantheory, GDP (Gross Domestic Product) and employment levels. It looks at ways in which full employment can be achieved; effect of government manipulation of fiscal policy on GDP and concepts of supply and demand.
From the Paper John Maynard Keynes revolutionized the study and practice of economics most especially through his writings on the causes of long-term high levels of unemployment such as were seen during the Great Depression ..."
Abstract The paper discusses the theories of John Maynard Keynes who is known as the "father of modern economics". He was the first economist who precisely described some of the causes and cures for recessions and depressions. The paper explores some of the effects his theories had on the Great Depression such as the Employment Act and the Council of Economic Advisors. It also shows the effects of his theories on World War II and provides a time-line for the Great Depression.
From the Paper "Thus, according to Keynes, the solution that he bought through his theory was for the government to goose up its spending in any way it can either by printing money, cutting taxes, or increasing spending itself. He believed in supply and demand, which was an indirect way to let the economy balance itself. In his theory he not only convinced that in order to work for this system to work people needed money, which could only be done by creating jobs. He further believed that in order to reduce unemployment the government needed to increase the total demand, which is the total amount of goods being demanded. "
Tags: United, States, Federal, Reserve, Gold, Standard
This paper discusses nursing theory, specifically in regards to self-care facilitated by Dorothy Orem's model and the mid-range theory of the community health model.
Abstract This paper discusses the importance of nursing theory as not simply a philosophical abstraction, but as also useful for the demands for "description, explanation, prediction and control" during nursing work and study. Having a background in nursing theories can prove helpful because theories give clues as to what to ask, what to observe, what to focus on and what to think about when a nurse is under pressure or dealing with a noncompliant patient. The paper asserts that even grand theories have a practical emphasis. They can offer validation of the patient's cultural differences and self-empowerment and actualization through facilitating patient self-care. Self-care facilitation is a stress in many of the grand theories, as Orem's theory likewise attempts to address self-care deficits such as patient noncompliance with a dietary or physical fitness regime. There is always inevitable overlap between models, as contemporary nursing models and grand theories all strive to be limited to a focus on problems in nurse-patient situations or problems in person-environment interaction to be of use in practitioners in the field. Furthermore, the paper looks at the use of middle range theories in nursing, which some assert are more useful and more easily tested in practice. These mid-range theories act as subsidiaries of grand theories, and draw a great deal of their philosophy from grand theories. The major categories of knowledge reflected in different contemporary nursing models and grand theories, which include needs-based approaches, interaction-based approaches, outcome-focused approaches and humanistic approaches can be placed through the use of mid-range theories in a very specific context, such as pain management, or health promotion.
From the Paper "Orem places a strong emphasis on exercise and physical activity that the patient can achieve him or herself. In the Community Empowerment Model, the nurse can provide counseling how to achieve such goals in the context of the patient's specific community and cultural environment (Extract from "Medicare Primary and Consumer Directed Care Demonstration: Health Promotion Nurse Intervention Model," 2002). The importance of exercise is directly derived from Orem's stress upon the need for the nurse to help the patient with such basic self-care modalities as nutrition, hygiene (including better sleep hygiene), mobility (including exercise), medication, and more empowered behavior. Orem also stresses patient empowerment in the context of direct nursing care, where the nurse has direct contact with client and/or family, along with Orem's the belief that self-care deficits are the result of environmental situations (Mayo, 1997).
"The environmental impact upon self-care also illustrates how the Community Empowerment Middle Range theory springs directly from Orem's influence, along with the pragmatic and humanist philosophical influences gave birth to Orem's stress upon patient empowerment during the entire process of treatment. The Community Empowerment Model also incorporates multiculturalism into its philosophy. Both theories share the logical positivist emphasis which stresses situations and context dictating the course of treatment, and the importance of taking into consideration the environment of the patient."
Tags: self-care facilitation Orem, mid-range theory, community health model, treatment
A review and discussion regarding four different criminal theories: differential association theory, strain theory, routine activity theory, and a feminist theory.
1,125 words (approx. 4.5 pages), 1 source, 2005, $ 44.95
Abstract This paper examines four critical theories that have been developed in order to study criminal behavior in human societies. Each of the theories discussed in this paper have been chosen from a wide list of options and are part of a separate classification group. The four theories that this paper identifies are differential association theory, strain theory, routine activity theory, and a feminist theory.
From the Paper "Criminology is a wide field devoted to the theoretical study of crime, of its causes, of its relationship to the law, and of its relationship to human communities. In a way, crime affects all human societies at very fundamental levels. That such a powerful force should spawn a critical discipline devoted to its study is not surprising. Once it became an academic discipline it is even less surprising that critics and theorists have been unable to agree upon a theoretical framework that encompasses all aspects of criminology. Instead, criminology has been divided, over the years, into a number of critical theories that sometimes complement one another and other times are at odds with each other."
