Government intervention crucial for achieving sustained full employment in economies
This article gives a simple overview of post-Keynesian economics. Post-Keynesians believe in models that follow paths instead of seeking equilibrium, and they emphasize the importance of money, institutions, and rules of thumb in economic decisions. They argue that government intervention is necessary for achieving full employment, with fiscal policy being more effective than monetary policy. However, they also acknowledge that sustained full employment in capitalist economies has its limits.