
Keynes's revolutionary 1936 masterpiece challenged economic orthodoxy, inspiring global policy shifts during the Great Depression. "We are all Keynesians now," Nixon famously declared, as this controversial work - praised by Samuelson, debated by Friedman - forever transformed how governments approach economic crises.
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During the depths of the Great Depression, millions stood in breadlines while factories sat idle and warehouses overflowed with unsold goods. This paradox-poverty amid plenty-defied everything economists thought they understood. Then came a book that would change everything. John Maynard Keynes, a Cambridge economist who had spent decades defending classical economic theory, published a work that would demolish the very foundations he once championed. His message was radical: markets don't fix themselves, unemployment isn't a choice, and sometimes economies need a push. For generations, economists believed in a beautiful, self-correcting system where workers received wages matching their productivity, anyone willing to work could find employment, and production automatically created enough purchasing power to buy everything produced. It was elegant, logical, and completely wrong. Classical theory painted unemployment as either temporary friction between jobs or voluntary refusal to accept appropriate wages, insisting the economy would naturally swing back to full employment like a pendulum. Today, when governments debate stimulus packages or central banks adjust interest rates, they're wrestling with ideas Keynes introduced nearly a century ago.
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