The book's principle attack on its predecessors is centered on its refutation of Say's law of markets.
The book's principle attack on its predecessors is centered on its refutation of Say's law of markets. Taking an idea from Malthus, the work argues that the danger is excessive savings, as it will cause the eventual contraction of incomes and savings. Also central to the work is the thought that savings does not equal investment and the conclusion that savings and investment determine aggregate supply and demand. The book also introduces two key economic concepts: the marginal propensity to consume, and the multiplier effect. For 10 points, identify this work which argued that governments should sponsor full employment, and is the masterpiece of J M Keynes.
The book's principle attack on its predecessors is centered on its refutation of Say's law of markets.
The {General Theory of Employment, Interest, and Money}