Applies the lesson to analyse a real world issue Assignment

Applies the lesson to analyse a real world issue - Assignment ExampleThis phenomenon is not unique as during the Great Depression in 1930s the world economy underwent a similar occurrence.According to Hazlitt (1946), there is a difference between economists unspoilt economists and bad economists. The bad economists observe the direct impacts of proposed course, whereas the good one focuses on long and indirect consequence. Teiying economic to long term predictions is the foundations of a good economist and as Brux, (2005) predicted long term economic eventualities much(prenominal) as poverty marks such characteristics. This argument cannot be further from the truth. Economists have always been grouped into different groups, but the worlds some prominent group is the Keynesian school of thought. Other economic schools of thoughts that have dominated academic thoughts throughout the 20th light speed and even the 21st century are the monetarist school of thought and the Harvard econ omic school of thought.According to the Keynesian school of thought, private capital investment decreased as a takings of more capacity and the deficiency in good investment opportunities (Hetzel, 2012). In fact, the concept of Secular Stagnation, a term coined by the Keynesian school of economic science and it attributed the recession to inadequate capital investment hindering full employment of labour and other economic resources. Aptly referred to as the secular stagnation possible action as articulated by the Keynesian school of economics, is a marketed different from the notion propagated by the monetarist school of economics.According to the monetarist theorists the recession was as a prove of the tendency of the rate of profit to decrease, and as such businesses will block investments in manufacturing plants with a decreasing rate of return. Theorists have provided different arguments on the phenomenon of wiped out(p) economic growth, and especially that regards the same that was realized in the industrialized