Quote Originally Posted by Kembal View Post
You seem very confused as to what Keynesian economic theory proved during the Great Depression. Keynesian programs were used by FDR to start a recovery at the onset of the Great Depression. In 1937, FDR thought he could balance the budget, and therefore cut spending and raised taxes, which reveersed the recovery. The Depression thus continued until 1941, until U.S. entry into World War II.
So.. for 4 years Keynesian programs didn't work.. so he wanted to try something else?

If you can provide an example as to where Keynesian stimulus (done at the correct magnitude) has not worked since the 1930s in a recession/depression scenario, I'd be interested in reading about it.
Off the top of my head... let's see, maybe Japan.. right before the "Lost Decade". I love how you quantify things with "(done at the correct magnitude)" because that is the excuse ALWAYS given by Keynesians when their economic theory flops... "We didn't spend ENOUGH!"