Last night Centre College students had a good debate. A College Democrat represented Sen. Obama's position, and a College Republican represented Sen. McCain's position. Another student, from our Bonner Scholars program, moderated, presenting questions submitted by the student body. Everyone did a fine job, and the whole debate was more informative than the candidate debates.
I was surprised by one exchange that went beyond anything I have heard from the actual presidential campaigns. The Democrat argued that Republicans still believed, as Pres. Hoover did, that the market should be left alone to settle recessions without government interference. In response, the Republican argued that when FDR raised taxes and created government jobs in order to give consumers money to stimulate the economy, he was the one who wrecked the economy.
I have heard informed opinion that the New Deal's Keynesian policies did not end the Depression by themselves -- World War II so stimulated production that people were put back to work (though much of that was also through government spending on war goods). Still, I thought it was taken for granted now that the Republican laissez-faire response to the Depression made the problem much worse, whereas Keynesian stimulus approaches saved the economy - indeed, saved capitalism.
Now I am not holding the Republican Party or Sen. McCain responsible for the views of one 18 year old College Republican. I expect, though, that he got this idea from a discourse circulating in Republican circles still -- or perhaps again. So, dear readers, are "We are all Keynesians now?"