New economic theory challenges traditional beliefs, calls for state intervention
Post-Keynesian economics focuses on building a new economic paradigm based on J.M. Keynes' theories, emphasizing the role of money supply and historical time in economic events. Post-Keynesians believe in state intervention to stabilize the inherently unstable monetary production economy. They advocate for Keynesian fiscal and monetary policies, along with incomes policy, to achieve full employment and economic stability. Supply-side microeconomic policies are also suggested by many Post-Keynesians.