Assignment:
Keynes was a revolutionary figure in the economy during the Great Depression and in the nearly 100 years since. View the following video and use the following question as a viewing guides:
Go to the following website and watch movie 17 (John Maynard Keynes) by clicking on the 'vod' button.
After viewing the movie, answer the following questions as carefully and completely as possible. Your response must be professionally presented on the discussion board (i.e. typed, with citations from the text and video)
1. Describe the economy during the Great Depression using the economic indicators we have studied in class (i.e. GDP, UE:, inflation, business profits and consumer confidence).
2. Before the Great Depression. classical economists such as Adam Smith, thought the economy would correct itself. It was also viewed that as long as firms produced goods, there would be people to buy those goods (This is known as "Say's Law"). What was Keynes' explanation of the Great Depression?
3. Explain the idea of the multiplier.
4. What did Keynes think should be done to correct the economy?
5. What did FDR do? Why did the economy not correct fully?
6. What impact did WWII have on the economy?