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John Maynard Keynes. Arun , Haley, Lucy, Suzie, Becky. Problems With Treaty of Versailles and Great Depression. The depression is unending Savings are DRYING up. How to Solve It. Constant investing However, this is an “undependable” drive for the economy Government involvement

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john maynard keynes

John Maynard Keynes

Arun, Haley, Lucy, Suzie, Becky

problems with treaty of versailles and great depression
Problems With Treaty of Versailles and Great Depression
  • The depression is unending
  • Savings are DRYING up
how to solve it
How to Solve It
  • Constant investing
    • However, this is an “undependable” drive for the economy
  • Government involvement
    • Directly helping to sustain the buying power of the otherwise unemployed, and by leading the way for a resumption of private business expansion
  • To pay for the war
    • Have a portion of every wage earner's pay go to government investment
    • “Reflation”
  • Caution: Don’t over-expand

***If our savings do not become invested by expanding business firms, our incomes must decline.***