The history of economics is that of predominant narratives. Or as Keynes put it: “Practical men who believe themselves to be quite exempt from any intellectual influence, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back”.
Indeed, the 20th century is marked by who's narrative fits the times best and who's in power to capitalise. FDR incorporating Keynesian principles in response to the Great Depression. The Reagan era dominated by the Ayn Rand, Milton Friedman libertarian style banking centric narrative now internalised by all major political parties. The limitations of its practical application layed bear by our most recent financial crisis the global electorate has responded with a reactionary request to reshuffle the deck.
Which "defunct economist" will instruct our current crop of "madmen in authority" is still largely uncertain though prospects at the moment look reactionary and ill suited. Any correction to the existing orthodox narrative must originate in a more democratic and equitable reponse to economic and social concerns something Mr Trump does not have a history of pursuing. Will our elected representatives acknowledge their role in supporting a more equitable and sustainable economy is the only constant question required.
As a first principle toward that end, the functional finance framework deals directly with the lifeblood of the economy, money. A topic orthodox economics still considers to be exogenous. Below is our poorly funded and executed effort to provide a simple narrative for understanding. Please distribute and contribute for developement of a better quality whiteboard animation.
Thanks,
Indeed, the 20th century is marked by who's narrative fits the times best and who's in power to capitalise. FDR incorporating Keynesian principles in response to the Great Depression. The Reagan era dominated by the Ayn Rand, Milton Friedman libertarian style banking centric narrative now internalised by all major political parties. The limitations of its practical application layed bear by our most recent financial crisis the global electorate has responded with a reactionary request to reshuffle the deck.
Which "defunct economist" will instruct our current crop of "madmen in authority" is still largely uncertain though prospects at the moment look reactionary and ill suited. Any correction to the existing orthodox narrative must originate in a more democratic and equitable reponse to economic and social concerns something Mr Trump does not have a history of pursuing. Will our elected representatives acknowledge their role in supporting a more equitable and sustainable economy is the only constant question required.
As a first principle toward that end, the functional finance framework deals directly with the lifeblood of the economy, money. A topic orthodox economics still considers to be exogenous. Below is our poorly funded and executed effort to provide a simple narrative for understanding. Please distribute and contribute for developement of a better quality whiteboard animation.
Thanks,
| Read text of animation here |
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