KINE 2049 Lecture Notes - Lecture 8: Classical Liberalism, Market Failure, Canada Social Transfer
7 Jul 2017
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Document Summary
Week 3; wwii and post-war keynesianism: the welfare state from 1940s to 1970s. Great crash in 1930s provided the ground for keynes to unravel the contradictions of classical liberal ideas on economy and therefore, undermine the theoretical edifice of classical/neo- classical liberal economy. According to keynes, market failures can be systemic; the inability of market to provide an adequate purchasing power leads to under-utilization of society"s resources. Wwii: expansion of the role of the state: state intervention in economy: The role of the department of munitions and supply (1940). State as a major employer created many crown corporations during the war. Sectoral changes and rise in the levels of wealth. Growing labour militancy--------- recognizing the right to collective bargaining. An increase in the numbers of women in labour force. National obligation to take care of war veterans. The ascendancy of keynesianism: explanations for its adoption.
