Keyensian Economic Theory

[The Duke]

Since Keynes said that taxation that was above 25% of GDP would cripple the economy, I don't know that it fair to make the flat statement that he though government spending was better than a tax cut.  True, that first 25% would do more for us than if we sent it all back in taxes, but Keynes also understood the situational aspect to it.  Is it better to raise taxes from 99% to 100% or cut them to 98%?  I think he'd say cut them to 98%, since he'd understand that 100% taxation is crazy, and apparently, so is 26% taxation.

[The Duke]

Since Keynes said that taxation that was above 25% of GDP would cripple the economy, I don't know that it fair to make the flat statement that he though government spending was better than a tax cut.  True, that first 25% would do more for us than if we sent it all back in taxes, but Keynes also understood the situational aspect to it.  Is it better to raise taxes from 99% to 100% or cut them to 98%?  I think he'd say cut them to 98%, since he'd understand that 100% taxation is crazy, and apparently, so is 26% taxation.

There's a difference between 100% and 26% taxation, you know.

Yes, but there are similarities too.  Both would be rejected by Keynes for example WHICH WAS MY WHOLE ING POINT!!!