BIS Review 142/1996  -5-  Furthermore, past experiences of economic fluctuations, such as inflation and the asset-price “bubble”, and the concurrent accumulation of budget deficits have prompted countries to closely re-examine fundamental thinking on economic policy and the underlying economic theories. This year happens to be the 50th year since the death of John Maynard Keynes.
There have recently been renewed discussions on the evaluating of Keynes’ theories and Keynesian economics, which in many respects formed the basis of postwar economic policies. The approaches currently adopted by various countries in addressing economic policies have several points in common. The first point is the growing emphasis placed on improving the supply side of the economy.