Are Full Employment Policies Obsolete?

The authors suggest that full employment policies are outdated. They discuss the idea of involuntary unemployment, a primary concept of Keynesian macroeconomic theory. John Maynard Keynes felt that aggregate demand could settle at levels insufficient to motivate companies to offer sufficient numbers of jobs to employ all people who would be wiling to work. They focus on the special circumstances that enabled the adoption of Keynesian policies until the 1960s and the conditions that led to their demise in the 1970s.