Keynesian Revolution Pushed Aside by New Economic Doctrine
The article discusses three major shifts in the field of economics: the Keynesian Revolution, the Monetarist Counter-revolution, and the Rational Expectations - New Classical Revolution. While Monetarism revived the quantity theory of money, the RE-NC modeling led to its recent decline. Initially seen as an extension of Monetarism, RE-NC economics eventually replaced it. This has important implications for modern macroeconomics.