The General Theory of Employment, Interest, and Money after 75 Years: The Importance of Being in the Right Place at the Right Time

  title={The General Theory of Employment, Interest, and Money after 75 Years: The Importance of Being in the Right Place at the Right Time},
  author={Matthew N. Luzzetti and Lee E. Ohanian},
  journal={ERN: Keynes; Keynesian; Post-Keynesian (Topic)},
This paper studies why the General Theory had so much impact on the economics profession through the 1960s, why that impact began to wane in the 1970s, and why many economic policymakers cling to many of the tenets of the General Theory. We discuss three key elements along these lines, including the fact macroeconomic time series through the 1960s seemed to conform qualitatively to patterns discussed in the General Theory, that econometric developments in the area of simultaneous equations made… 
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