Neoclassicals / Chicago school: monetarism, rational expectations and natural rate of unemployment (Friedman, Lucas)

Policy implications: Volcker shock, central bank independence and end of countercyclical policies

Keynes and the public debate: public intervention to sustain aggregate demand; international coordination to avoid recessions and unemployment in indebted countries (Bretton Woods)

Schumpeter: innovation as the driver of capitalism; creative destruction, endogenous change and economic cycles; opposition to public intervention

Keynes: criticism to the marginalist / neoclassical view

The Generagl Theory (1936): principle of effective demand, multiplier effect, determinants of the demand for money

Analysis of the Great Depression as a crisis of insufficient demand

Joint correction and discussion at the end.