Keynesianism in Australia

AbstractThis paper focuses on how Keynes’s ideas were received in the intellectual community and acted upon by governments in Australia. As Millmow points out, the most influential early advocates of Keynesian ideas were Coombs, Crawford, Giblin, Swan and Wilson, with Downing and Reddaway close behind, all putting emphasis on fiscal policy. As much has already been written about Giblin, more attention will be given to discussion of the others. One of the authors of this paper knew Coombs well and discussion relating to him puts into print some oral history. The paper gives most attention to the first 25 years after the Second World War, including the lessons that can be learnt from that period for policy issues today. The decline in the influence of Keynesianism in the early 1970s is noted – though there has been some increase in interest as a result of the global financial crisis.