Regarding Keynes on deficit spending.

American Keynesians proposed their "hydraulic" concept of government
spending but that was not Keynes idea.  Recall his breakfast in
Washington where he was the only
non-keynesian in attendance.  Keynes in the GT was very vague, but
seemed to be leaning toward private public partnerships led by civic
minded businessmen rather than simply having government spend.  Yes, I
know about burying money.

I discussed this in my book, Investment Theory and the Economic
Slowdown: Keynes, q-Ratios, and Replacement Investment  (London:
Macmillan).


-- 
Michael Perelman
Economics Department
California State University
Chico, CA
95929

530 898 5321
fax 530 898 5901
http://michaelperelman.wordpress.com