Keynesian reforms could stop us falling into more economic foxholes

One might almost say that economics is too important to be left to economists. Keynes, as his wife put it, was “more than an economist”. Here are three things he believed:

1. The future is radically uncertain. To talk of risks being “correctly priced” is a nonsense term. Risks are conventionally priced, but because there is no firm basis of knowledge to hold their prices steady they are subject to “sudden and violent changes”. This makes investment very volatile.

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