Keynes is back - the refugees brought him!
Peo Hansen has written a piece for the web journal "Discover Society" which argues that EU's dual and paradoxical approach to mogration, asking for more migration, and less, simultaneously - might carry a Keynesian solution in it midst - if we only put the two policy lines together.
In the article "How the Refugees Smuggled Keynes Back from his Exile", Peo Hansen describes the paradoxical policy positions EU sine quite some time have been occupying. One the one hand, EU has done everything they can to keep refugees out, on the other hand they have opened up for and explicitly called for the great need Europe has of labour migration, with reference to the well known demographic crisis.
Hansen argues, with the notion of, "refugee keynesianism", that by putting the two together we could imagine a slotuin appearing in which the refugees now coming to Europe will take care of a part of EU:s foreseeable labour shortage. An important obstacle for this, however, is the long-standing committment to an austere policy on economics as opposed to a "keynesian" approach seeking to stimulate production through public investment and thereby stimulate employment and thus consumption, which in turn creates growth.
Read Peo Hansens article here
Last updated: Sun May 15 18:28:36 CEST 2016