Blame It on the Keynesians

Professor Evgeniy Gentchev, International Business Department Chair

CEDAR HILL, Texas – This was the title of a presentation by Northwood University’s Professor Evgeniy Gentchev to the Tea Party of Far North Dallas on September 19.    The group invited Professor Gentchev to speak about the Austrian School of economic thought. 

The Austrian School focuses in the role of the individual entrepreneurs and market prices as regulators of economic activities and its analysis largely concludes that policies of limited government and free markets lead to the greatest and broadest economic development.   The Keynesian school of economic thought tends to conclude that government intervention in the economy leads to better results.  Despite the obvious failures of Keynesian-based policies in the United States many today continue to support large government intervention in economic life.

Members and sympathizers of the Tea Party movement are inherently pro-limited government but many are also interested in the economic analysis that explains and justifies such policy positions.  Economic analysis isn’t exactly dinner-table conversation for most, however, and translating complex economic concepts into understandable ideas was professor Gentchev’s task.  Attendees learned about the origins and the basic principles of the Keynesian and the Austrian approaches to economic analysis and about the contribution of major figures in the Austrian school such as Ludwig von Mises and Nobel-prize winning economist Friedrich Hayek.


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