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Why Keynesian Economics Leads to Corporatism
Why Keynesian economics leads to corporatism is in relation to do with the mixed economy. How a mixed economy is setup it becomes impossible to avoid corporatism because of the government intervention in the market, as well as in relation to the presence of competition.
In this video, I explain the relationship between the marriage of governments interference in the market, coupled with the nature of competition that illustrates why it becomes impossible to avoid. I must reiterate, there is no such thing as a perfect system, but it is important to acknowledge the root cause of the problem, therefore, my argument of separating government from the economy is the best solution possible.
One could argue that Keynesian economics for how it was initially planned by Keynes was only meant to be used as a temporary measure during the period of a crisis, in practice, it has become something permanent which explains the soaring debt and deficit problem today. I give a brief explanation on the banking crisis in relation to this argument as it was Keynesian economics which resulted in the very banking crisis that relates to corporatism.
It illustrates how Keynesians with their good intentions results in the very fraudulence they proclaim to stand against through government protectionism.
Like I have explained, Keynesians believe strongly in trying to control the market, are strongly opposed to the free market as they believe that's what led to such crisis and although they may oppose full-blown socialism, I like to call them low-level central planners, in other words, ad-hoc socialists as they typically view the economy as something that they can control.
Keynesian economics is strongly protectionist at its root through government bailouts, regulation, etc, therefore, it is only natural corporatism thrives off the back of this as I've explained why this is.
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