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Subject:
From:
Alan G Isaac <[log in to unmask]>
Reply To:
Societies for the History of Economics <[log in to unmask]>
Date:
Wed, 16 Nov 2011 18:33:05 -0500
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>> On 11/14/2011 7:26 PM, James C.W. Ahiakpor wrote:
>>> Now, Keynes himself, in the Preface to the German edition
>>> of the /General Theory/ argues that "the theory of output
>>> as a whole, which is what the following book purports to
>>> provide, is much more easily adapted to the conditions of >>> a totalitarian state, than is theory of the production and
>>> distribution of a given output produced under conditions
>>> of free competition and a large measure of laissez-faire"
>>> (1936, xxvi).


> Alan G Isaac wrote:
>> I do not think it is possible to accurately communicate
>> what Keynes was saying here by cutting off the quote
>> in this way. Out of curiosity, how do you interpret
>> what he is saying?


On 11/16/2011 2:07 PM, James C.W. Ahiakpor wrote:
> Keynes himself would say that his theory was more suitable
> for application in a totalitarian state.


You seem to be saying that Keynes is claiming that his
theory applies better to a totalitarian state than it does
to a liberal state.  This is a gross misreading of Keynes,
and that is evident even in your truncated quote.

If you don't have access to the all of the relevant
paragraph in the German editions (unfortunately, not
fully reproduced in Collected Works), see

Schefold, Bertram (1980):
"The General Theory for a totalitarian state? a note on
Keynes's preface to the German edition of 1936
Camb. J. Econ. 4(2): 175-176

Just to be clear, Keynes is praising the *generality* of his
own theory. He is *not* saying that it best applies under
totalitarian conditions. Rather he is claiming that, as
a more general theory, it can also be adapted to such
conditions, and more readily so than a theory that cannot
explain the level of output.

Cheers,
Alan Isaac

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