Paul Krugman in How Did Economists Get It So Wrong?sets forth his vision the future of economics;
Krugman is spot on regarding financial markets' imperfections and delusions.
However, because of globalization, his prescription of Keynesianism as a cure will not work. Back in the 1930's, when Keynes wrote and FDR began the New Deal, "the economy" was the national economy. Therefore, it made sense and was feasible to address economic issues from Washington. Nowadays, however, "the economy" is the global economy. Absent some global government, it would no longer be feasible to regulate it.
The Long Night is Coming
3 years ago