Keynes vs Neo

Here is an interview looking at pro and anti Keynes views:



I enjoy the point at which Skidelsky jumps in and points out that the "self-correction" of free markets fail because:

1. The market punishes mistakes to create its automatic "self correction" but Skidelsky points out that it punishes lots of people -- such as the 15 million unemployed -- who had no role in the risky Wall Street behaviour. So relying on the market to "self correct" is to inflict punishment on innocent bystanders.


2. The "corrections" of free markets happen in the long run, but as Keynes pointed out: we are all dead in the "long run".