The Crisis of Keynesianism and the Emergent Dominance of the Chicago School and Neo-Liberalism à la Chicago

This short final chapter summarizes the picture that emerges from the narrative of the evolution of economy theory in the twenty-five years between the end of World War II and the mid-Seventies, from the consolidation of the new mainstream (in particular in its Harvard-MIT-Cowles version which may be called “Keynesian” because Keynesianism was its analytical and ideological core, that dominated the economic scene for over twenty-five years) until its crisis in the early Seventies. The many intertwined factors which determined that crisis and the emergent dominance of the Chicago School are examined.