Keynesian Economics

/ ˈkeɪnziən;ˌiː.kəˈnɒ.mɪks / theory /

RE: DEVELOPMENT, ECONOMICS, GOVERNMENT, POLICY

Keynesian economics is an economic theory developed by British economist John Maynard Keynes. It says that governments should step in to help the economy when things slow down - especially during a recession. According to this theory, when people and businesses stop spending, the government can boost the economy by spending more itself or cutting taxes, helping to create jobs and keep things moving.

In international development, Keynesian ideas are often used to support public investment in things like roads, schools, and healthcare - especially in poorer or recovering economies. The theory continues to shape how many countries think about economic growth, inequality, and the role of government in supporting people’s wellbeing.

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