For a year or so I’ve been listening to a podcast called Planet Money from National Public Radio. I look forward to listening a few times per week and it’s taught me a great deal about what is happening in the economy.
It’s also become a bit of a political football as President Obama is a follower of the economist John Maynard Keynes (1883-1946) while Governor Romney is a follower to the economist Friedrich A. Hayek (1899-1992).
Keynes believed that in times of dire economic depression the government needs to pour money into the economy to stimulate it and raise itself out of its troubles. Hayek believed that governments can’t do this effectively and it is better in the long run to allow the economy to fix itself. This rap does an excellent job of explaining their positions.