What the World Needs

More incongruous rap wars. Here’s Hayek versus Keynes:

I think if I were a teacher/professor at some level, I’d seriously consider writing rap wars to illustrate and summarize differences between characters, points of view, and so on.
Yeah. I’d be that guy.
ADDENDUM:
A (very) little bit of digging turned up the video to which the above is a follow-up:

Best line (from the Hayek character, naturally): “If you’re livin’ high on the cheap-credit hog, don’t look for a cure from the hair of the dog.” Seems like I’ve been reading about a Fed plan to buy up government debt to drive interest rates even lower…

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Warrington Faust
Warrington Faust
14 years ago

I have often thought that Keyne’s most probative statement was “In the long run, we are all dead”

Monique
Editor
14 years ago

“Seems like I’ve been reading about a Fed plan to buy up government debt to drive interest rates even lower…”
Isn’t this, like, a really bad idea?

Warrington Faust
Warrington Faust
14 years ago

Monique,
It means printing money of about 1 trillion, which will then move into the economy. While this will make money “cheap”, it is also highly inflationary.
We end up with too much money chasing goods and services. Since money will be in surplus and the quantity of goods relatively stable, this will drive up prices. “Supply and Demand”, don’t ‘cha know.
Since most of Keynes “micro” theories assumed spending “savings”, easy credit lets a lot of the water out of them.

BobN
BobN
14 years ago

History has proven that Hayek’s is the correct version of economic theory, and that Keynes was completely wrong.
Some day the Democrats are going to learn that lesson. I only hope they learn it by being voted out of power, and watching us get the country back on track, rather than learning it the hard way and forcing us all to ride in the back seat as they drive into the ditch.
Or is it a canal? You can also bet that they will swim away and leave us to drown, just as their Lion did.

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