Video: Welcome back to Keynesian economics

The latest in economic theory, Cato Institute warns, actually hails from the disastrous 1930s. Dan Mitchell gives us an overview of classic Keynesian economics, which has become a necessity in the incoming Hope and Change administration. What does FDR and Robert Mugabe have in common, anyway?

Remember when we talked about redistributionism during the election? Joe the Plumber may not have an economic degree, but he had the right idea. Barack Obama’s new economic team may not be as left-wing as many had feared, but the overall approach of Obama’s tax shifts, rebates, and stimulus plans come right from the Keynesian playbook. If Obama’s not the next FDR on economics, he may yet be the next Gerald Ford or Richard Nixon, and that’s not much of an improvement.

On today’s Ed Morrissey Show, we’ll talk with my favorite economist, King Banaian, the chair of economics at St. Cloud State University, about Keynesianism and its potential to drag the American economy back into stagnancy.

Update: Ed Driscoll says it’s more of a case of “In Dodd We Trust”.