What are Keynesian economics and Austrian Economics?
In: Economics
Keynesians believe that you can use monetary or regulatory policy to more positively influence the overall direction of the market in aggregate over time than free markets left to their own devices.
Austrians believe that economists should base policies on human psychology and subjective individual determination of value rather than statistics and game theory.
Keynesians believe economic equilibrium is a universal state. Austrians believe it’s a state of mind.
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