Social 30-1 Mr. Tulk Unit 2 – Chapter 4 – Part 4

Words Labour Standards Feminism

Housekeeping What is Classical Conservatism? Who was a proponent of it? By his standards, who should run government and why? How does it relate to Laissez-Faire Capitalism? How does it relate to Modern Liberalism and the welfare state? What US Pres. Brought about this change in the States.

Keynesian Economics As the 1930’s and the great depression progressed, most were at a lost of how to fix it. The Economy seemed to be broken. A British Philosopher and economist developed new ideas of how the government could run.

John Maynard Keynes His ideas are confusing. Smith argued that supply and demand would supply jobs. Keyens felt this was flawed. At times of stress or recession people would stop spending and save money (this happened in the US) This would stop demand and eventually kill the supply chain. (wow, he’s like a prophet!)

Continued He thought government regulation could solve these problems. Stopping people from loosing homes, jobs, and lively hood during a recession. Let’s look at page 146.

How it works During times of economic inflation, government should raise interest and avoid capital works (That’s government building things like roads) During times of recession government should lower interest rates and start capital works. Also, destroying money during inflation. Wow, I’m pretty sure this guy had a time machine!

Effects This would leave the monetary and free- market system intact while helping stabilize the system. Now, This is confusing… On a Cue Card, please paraphrase the idea of Keyens ideas. You can talk to your friends.

LET’S LOOK AT PAGE 149 This diagram really sums it up well!

Keyens in the real world FDR (Fraklin D. Roosevelt). Pres Used Keynes theory is a social program called “the New Deal”. Massive Public Works. New Farming practices. Banking Reform. A throw back to his cousins “Square Deal”.

Continued By the ’s most states had adopted the Welfare State. The Government now had a role to take care of its people. Hmmm. Let’s discuss the questions on Page 150. I’d like to talk about 1, 2, & 4.

Hmmm. Let’s have a quick game of Smart Ask I think it’s a good time for review. It will be based on Rejections of Liberalism and Responses to Liberalism. Let’s get going!