Friday, September 23, 2011

Kiwi Keynesianism



Lord Keynes has an excellent post on New Zealand's use of Keynesian stimulus in the 1930s. A very interesting read.

2 comments:

  1. Thanks for the link!

    As some interesting facts for your readers, particularly those from the conservative side, the New Zealand Prime Minister who presided over that Keynesian reform and policies to create full employment was Michael Joseph Savage. He was a very popular and deeply sincere Christian (especially towards the end of his life when he was PM), and regarded social democracy and the welfare state just as "applied Christianity". A lot of the New Zealand electorate agreed. Labour parties in those days embraced a Christian social ethic. The old-style British Labour party, for example, was happy to call itself the party of Christian socialism.

    You will note the spamming and hostile outrage from libertarians in the comments on that post, saying things like it was all some “wicked” plot by the state to steal people's wealth, and so on and so forth.

    Anyone who bothers to have even a quick read of Savage’s biography could have read about his “wicked” motives: he was simply “horrified by the problems faced by hospitals and asylums in a society in which there was no government-funded social welfare. He was to have a lifetime concern not only for the physically ill but also for the care of the mentally ill and the elderly” (Barry Gustafson, From the cradle to the grave: a biography of Michael Joseph Savage, p. 26). Appalling, isn’t it?

    One of the more shocking practices of that marvellous laissez faire era was that the elderly who could not look after themselves, who were homeless or without means were simply shunted into lunatic asylums! Savage gave them decent pensions, social services and dignity.

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  2. Hello Lord Keynes,

    Thank you for running such a great, informative blog!

    I live in the United States, where many of the loudest political Christians are very right-wing on economics, so the example of the old Labour Parties, is very uplifting. There also used to be a strong Christian populist movement in the U.S., represented by fellows like William Jennings Bryan.

    Regarding libertarians, I have noticed that libertarians often have an extremely conspiratorial view of history. Even relatively mild reformists are painted as secret totalitarians out to impose "statism"(whatever that means) on everybody. It gets to the point where having a normal discussion with some of these folks is close to impossible.

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