Neoclassical synthesis
Neoclassical synthesis
The neoclassical synthesis (NCS), or neoclassical–Keynesian synthesis, is an academic movement and paradigm in economics that worked towards reconciling the macroeconomic thought of John Maynard Keynes in his book The General Theory of Employment, Interest and Money (1936) with neoclassical economics.
"The Neoclassical Synthesis was taken as an article of faith. Fundamental questions about the failures of the market system, such as the causes of periodic depressions and the unemployment that accompanied them, were avoided."
"That was building up during the 50s, in the so-called neoclassical synthesis, better called the neoclassical-neo-Keynesian synthesis, I think. The main thing was that classical economics didnt explain the Great Depesssion and didnt give you any hope of solving it. Keynesian economics did."
