Keynes vs Hayek Rap Videos

[SailorAg]

I'm letting my nerd flag fly high with one, but I don't care. Econstories.tv has recently produced two superb videos about the differences between the economic theories of Keynes and Hayek. The production value is quite high and the lyrics are too clever for words. They are also pretty balanced, the writers didn't seem to take sides policy wise; though they do portray Keynes as more of the celebrity than Hayek.

I don't want to start a debate about the merits of the philosophies, just share the videos with with fellow economics/business geeks. Enjoy!

Part One
[YOUTUBE]d0nERTFo-Sk[/YOUTUBE]

Part Two
[YOUTUBE]GTQnarzmTOc[/YOUTUBE]

 

[TommyGunz]

very entertaining, not a fan of keynesian economics.

They touched on circular flow, which is the only thing I agree with Keynes. What they didn't state is that Keynes believes in redistributing wealth to keep the cycle going with the idea that if given to the poor they will spend it and not save the money.

The flaw with the Keynes model is that it assumes that savings would be "kept under a mattress" this just doesn't happen in today's market. More often than not, it is in a bank, where the money can be used in the circular flow.

The irony is that an increase in savings in a banking system would have done the same effect as a government bail-out without the problems that are arising with the increased cash flow within the economy.

The other very important flaw in Keynesian theory is that is does not account for the actual value of the money. There are 3 ways for the government to get money, earn it, borrow it, or print it.

Earning it, is collecting taxes. The national debt is well over 100k/person in the US, we all know we aren't collecting that much from everyone, so that's out.
Borrowing it, well China and others have been buying up our bonds for years, how long can this go on before they come knocking and ask to pay up?
Printing is the current option that is driven by Keynes economists, well value of the dollar is what it is perceived to be, which is shrinking fast. With more supply comes a decrease in value...so you tell me where this is going, south-fast.

Well, there you go, not looking to debate which side is "better" just betting on Hayek and common sense to win this battle.

Very entertaining video, what side of the ring are you on?

Re,

TG