Saturday, March 12, 2011
Ch. 7 of Keynes's General Theory
In Ch. 7 Keynes argues that "the exposition in my Treatise on Money is, of course, very confusing and incomplete in the light of the further developments here set forth" (GT, 78). If that is the case, then his Treatise on Money is a complete disaster, a train wreck of a work, because the "further developments" in Ch. 7 is a confusing mess. He continues with his confusing of investment and saving, claiming that his argument makes sense if you consider aggregates rather than individuals. Considering that aggregates is an idiotic idea that makes unlike things like, heterogeneties homogeneous, it is no wonder that this chapter is a mess. It couldn't possibly be anything else.