John Maynard Keynes, the Father of Modern Theoretical Economics Essay

John Maynard Keynes (5 June 1883 21 April 1946), a British economist know also as the father of modern theoretical economics, had made a great impact on contemporary economic as thoroughly as political theory. His ideas were tapped by governments for their fiscal policies. He is most good known on his interventionist policy when it comes to fiscal and monetary measures, specifically, to mitigate the hateful effect of recessions, depressions, and regular(a) booms.An article from Time magazine on the vitamin C Most Important People of the Century, contend that his radical idea that governments should overlook money they dont have may have relieve capitalism (Reich, no date). As an economist, his first share of international fame was when he was selected as a delegate of the Paris Peace Conference of 19181919. It was during this group discussion that the victors of the beingness War 1 (specifically, Woodrow Wilson, Georges Clemenceau, and David Lloyd George) imposed war reparat ions on Germany. Keynes held his knife during the conference but let out a roar as soon as he returned to England (Reich, no date).He wrote a hold back entitled The Economic Consequences of Peace. He wrote that the Germans would not be able to turn over the victors. He called Wilson a blind, deaf Don Quixote, Clemenceau a xenophobe with one whoremonger France, and one disillusion mankind, and Lloyd George a goat-footed bard, this half-human visitor to our age from the tortured magic and enchanted woods of Celtic antiquity. Keynes predicted that the reparations demanded by the victors would keep Germany barren and might ultimately threaten the neighboring countries if not all of europium (Reich, no date).And we know that he is indeed right as if it was a prophecy. The throw sold almost a hundred thousand copies on that period. But it was only later on after three decades that the tangible effect of his treatise was felt. After the end of World War II, both US and Britain (as victors of the war) remembered Keynes admonition. The best way to attain a lasting peace is by helping the vanquished start all over again public put to create trading partners and building solid democracies (like n the case of Germany, Italy, and lacquer during that war Reich, no date).Keynes founded that branch of economics that is termed macroeconomics today. This is his greatest influence in the history of economics. This actually came from a book he wrote during the depths of the Great Depression. The book was called The general theory of employment, interest and money (published on 1936). The idea is bewitching much easy to understand Governments should not leave the market solely when, and especially, the economy is running slow (interventionist policy of the government).It is during periods of dull economy or recession that markets are saturated and businesses either do not site or reduce their investment. Such situation, according to Keynes, is a prologue for a pr ecise dangerous cycle less investment, fewer jobs, less consumption and even less reason for business to invest (Keynes, in Wikipedia, The Free Encyclopedia). In 1942, John Maynard Keynes was raised to the House of Lords and was accord the title Baron Keynes of Tilton, County of Sussex.Keynes play a crucial role in the negotiations that transpired in the creation of the Bretton forest system (the system/conference that created the World Bank, worldwide Monetary Fund, and the World Trade Organization, as we know it today). He was the head of the British guidance and the chairman of the World Bank Commission. He was the brainchild behind the management of currencies between and among countries. He advocated the creation of a world central bank, the International Clearing Union, that will be responsible for the common world coin unit (Reich, no date Keynes, in Wikipedia, The Free Encyclopedia).