Post-Keynesian Views of the Crisis and its Remedies

<p></p> <p>At the end of the 20<sup>th</sup> century mainstream economics was based on theories which viewed capitalism as a self-regulating system whereby crises come about due to external shocks and would be automatically corrected by the price mechanism if it was flexible enough. Post-Keynesian economists however consider that the business cycle and the crises are endogenously generated. They recommend active policies as a response though the remedies may be worse than the illness if they are not applied at the right moment and in the right proportions.</p> <p></p> <p>The first great recession of the 21<sup>st</sup> century offers post-Keynesian economists an opportunity to prove the realism of their models. It is also a chance to make theoretical improvements to abandon some hypotheses and to introduce new ones.</p> <p></p> <p>This book from a top group of international economists analyzes the causes consequences and evolution of the crisis from a variety of post-Keynesian perspectives. It then presents a case for realistic and essential remedies. The book is both theoretical and applied with a global reach and a particular focus on the European debt crisis.</p>