In the early 1930s, the economy was in the midst of a very severe recession. At the time, the general belief was that no government corrective action was necessary since the economy would, if left alone, eventually self-correct. As a result, there was no expansionary action taken on either a monetary or fiscal policy basis. The severe recession got more severe and eventually resulted in the Great Depression. During the mid-1930s, British economist John Keynes said the Depression could be ended by taking action to increase total demand in the economy. That could be accomplished either by cutting taxes for...