The Hayek vs. Keynes Rap: Fear the Boom and Bust

Before we get into the complexity of two of the most influential schools of economic thought of the previous century, you might want to take a look at this hilarious explanation of the basic principles of economics first (if nothing else, it's worth a good laugh).

As you may or may not know, the perception of economics trends in the twentieth century seemed to be dominated by two main schools of thought: one spearheaded by the economic philosophy of British economist John Maynard Keynes, who argued that economic collapse can be best dealt with through spending and government intervention. The other was led by Austrian economist and philosopher Friedrich von Hayek, who argued for free markets and the role of savings in helping to shape sustainable structures and financial institutions.

Despite their different approaches to the study of economics, as well as their divergent focus on the boom and bust stages of the economic cycle (which you can quickly learn in the following rap video), I tend to think that a unified understanding of these two scholars should always be considered by those in charge of setting up fiscal policy. Ignoring either of these two thinkers is a sure recipe for future failure.

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