paper
Keynesian Economics After All
A. Johansen, I. Simonsen
behavioral economicsarxiv
Description
It is demonstrated that the US economy has on the long-term in reality been governed by the Keynesian approach to economics independent of the current official economical policy. This is done by calculating the two-point correlation function between the fluctuations of the DJIA and the US public debt. We find that the origin of this condition is mainly related to the wars that the USA has fought during the time period investigated. Wars mean a large influx of public money into the economy, thus ...
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