Keynesianism refers to John Maynard Keynes (1883-1946). He is the founder of Keynesian economics and one of the most important economists of the 20th Century. His economics concept arose as a result of the devastating Great Depression the years after 1929, which brought him to a clear proof that not market automatically lead to full employment as many had believed even. Keynes claimed that the State in crisis active economic policy should operate to provide sufficient aggregate demand . For the Keynesian According to the employment of the dependent production and the production of the demand. If it is missing the company of demand and therefore they produce less and therefore dismissed workers , it's the government's job to ensure that aggregate demand will rise again. But this is possible if the government spending be increased. Does it lead to budget deficits and increases the national debt , then this fact must simply be accepted. If the crisis but is overcome and get the production and employment again, then increase again the taxes and thus the revenue of the state. from budget surpluses, the debt are then redeemed again - so it seems at least the optimistic thesis of Keynes, although that in itself is perfection. In fact, the debt did not work, but the national debt is increased rather dramatically.
find more about it in: Gerhard Wilke: Pocket. Economy in Germany.
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