30 research outputs found
Understanding the Keynesian Economics of Tanzan Ishibashi
As a journalist, Tanzan Ishibashi asserted the necessity of expansionary
fiscal policy during the great global depression to overcome deflation.
Therefore, Ishibashi doubtless correctly understood Keynesian economics
to a certain extent. This paper examines the degree to which he understood
Keynesian economics, based on his 1935 Toyo Keizai editorial titled, “The
Upper Limit of Government Finance Expansion and Lower Limit of
Contraction.” The results show he used the equilibrium condition “Savings
(S) = Investment (I)” to explain how the scale of government finance is
determined, but he did not always mention the principle of effective
demand that states when the scale of public finance expands, the equilibrium
condition changes. It follows that, at the point prior to The General
Theory of Employment, Interest and Money being published in 1936,
Ishibashi’s understanding of Keynesian economic was limited