Public Policies as Causes of Fluctuations

ONE MAIN DIFFERENCE between the analysis of business cycles or fluctuations in the pre- and post-Keynesian eras is that much less explicit attention is now given to flushing out the alleged "causes" of fluctuations. "Overconsumption" and "underinvestment" theories and the like that dominated much of the pre-war discussion have been discarded or absorbed in a general "multiplier-accelerator" framework. Present-day economists are more willing than their predecessors to take an eclectic approach and to view cycles as a delayed response to prior (autonomous) changes, anticipated or actual