Keynesian and Monetarist flavours of the decade.

The info-graphic below or on the sidebar is courtesy of  It highlights the varying degrees of US debt expressed as a % of GDP.  Which parties hold power, in the different offices, is interesting enough but the views on how to tackle inflation and growth are  manifested in the policy of deficit spending.  What is the difference in %s during the 1970s and 2000s? The monetarist belief was that any increases in the money supply above the rate of economic growth would be inflationary and this policy was adhered to in the 70s.  What could we say is the belief now, or rather the priority now?  Have the politics changed?



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