Quotes from “Mr. Keynes on the Causes of Unemployment”

By Jacob Viner (1935)

• In a world organized in accordance with Keynes’ specifications there would be a constant race between the printing press and the business agents of the trade unions, with the problem of unemployment largely solved if the printing press could maintain a constant lead and if only volume of employment, irrespective of quality, is considered important.#Quoted in George Selgin, The Theory of Free Banking (1988)
  Economics
• If . . . the supply schedule of labor with respect to real wages is, for part of its range at least, negatively inclined,the volume of employment could conceivably be much greater when there was “involuntary” unemployment than when there was “full” employment, and Keynes’ conditions of “full” employment might be met at an indefinite number of levels of employment.#
  Economics
• The relation between the period of investment intended by the saver and that intended, or in fact resulting, by the borrowing entrepreneur is not a simple one of necessary equality. It is highly flexible and approaches to free variability at the discretion of the borrower. Every money market has an elaborate machinery for transmuting short-term loans into long-term investments and long-term loans into short-term investments, to suit the convenience of original lenders and ultimate borrowers. . . . The modern money market is fortunately equipped to some extent with procedures for satisfying liquidity-preferences without providing genuine liquidity.#
  Economics