Hayes

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A few notes. Hayek frequently introduced himself as “Hayek — as in High Explosives”. If I made a change, I might add that to the intro.

And Hayek’s friends called him “Fritz”, not “Freddie”, though Hayek preferred “Friedrich” or “Professor Hayek”. In their letters, Keynes and Hayek addressed each other as “Dear Hayek” and “Dear Keynes”.

I might also note that in the 1930′s when Hayek was reducing Keynes to drooling — and sending him back to the drawing board (anybody still reading Keynes’ Treatise?) — Hayek had a good deal more hair on his head than Keynes.

And don’t miss my collection of Hayek quotes on Keynes.

UPDATE: The lyrics:

We’ve been going back and forth for a century [Keynes] I want to steer markets, [Hayek] I want them set free There’s a boom and bust cycle and good reason to fear it [Hayek] Blame low interest rates. [Keynes] No… it’s the animal spirits

[Keynes Sings:]

John Maynard Keynes, wrote the book on modern macro The man you need when the economy’s off track, [whoa] Depression, recession now your question’s in session Have a seat and I’ll school you in one simple lesson

BOOM, 1929 the big crash We didn’t bounce back—economy’s in the trash Persistent unemployment, the result of sticky wages Waiting for recovery? Seriously? That’s outrageous!

I had a real plan any fool can understand The advice, real simple—boost aggregate demand! C, I, G, all together gets to Y Make sure the total’s growing, watch the economy fly

We’ve been going back and forth for a century [Keynes] I want to steer markets, [Hayek] I want them set free There’s a boom and bust cycle and good reason to fear it [Hayek] Blame low interest rates. [Keynes] No… it’s the animal spirits

You see it’s all about spending, hear the register cha-ching Circular flow, the dough is everything So if that flow is getting low, doesn’t

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