Analysis: Obama Stimulus Plan Invokes Keynes

Keynes photoThe $787 billion economic stimulus package passed and signed into law last month had any number of co-sponsors in Congress, but in a real sense its main author was someone deceased for more than 60 years:  John Maynard Keynes.  The measure, and proposals subsequent to it, represent a tribute to a highly flawed, though highly original thinker.  They also speak of a larger ongoing and recent pendulum shift in theory and policy. 


Much has been written, and deservedly so, about President Obama’s sense of racial grievance; his radicalism; his circle of Chicago friends and fixers; and his intense identification with Abraham Lincoln.  Yet only recently that level of attention has been given to his worldview, all but in name Keynesian, to the current economic crisis.  The president and his neo-Keynesian top economic advisers – Lawrence Summers, Timothy Geithner and Christina Romer – have