“the UK falls into a severe double-dip recession, this will finally prove once and for all that Keynesian economics works,”
I don’t see how this would suffice as “proof” that Keynesian economics works.
Everyone (or most everyone) agrees that Keynesian policies can boost things in the short term. The question is whether this is a sustainable approach that works in the long run. The proof or lack thereof of that will be in whether governments can reduce their huge Keynesian-induced debt loads without causing a crisis.
Rich
PS – Since we’re on the topic these days, this is an example of a “good” political thread. There is obviously debate but the debate is civil and it’s about the content of an issue, not flaming and picking sides.
