The Keynesian paradigm suffered in the stagflation of the 1970s. Price inflation and unemployment surged simultaneously, which resulted in broad skepticism of the old Keynesian models while loyal Keynesians scrambled to offer explanations. Moreover, it became apparent that the Keynesian consumption function didn’t hold up to empirical scrutiny—disposable income wasn’t as good of a predictor of aggregate consumption as early Keynesian models assumed.
On September 27, Swiss voters will decide on the popular initiative “Safeguarding Swiss Neutrality.” The proposal would insert a new article into the Federal Constitution declaring Swiss neutrality perpetual and armed. Switzerland would be barred from joining any military or defense alliance and from cooperating with such alliances except in the event of a direct attack or imminent preparation for one.
Texas Republicans recently became embroiled in a dispute between two factions that we could call, for purposes of exposition, the “Heritage Texans” and the “Creedal Texans.”
