Governments can borrow more than was once believed
Hence only muted concern about borrowing to respond to covid-19
![](https://www.economist.com/cdn-cgi/image/width=1424,quality=80,format=auto/sites/default/files/images/print-edition/20200912_SBD001_0.jpg)
IF PEOPLE KNOW one thing about the thinking of John Maynard Keynes, who more or less founded macroeconomics, it is that he was in favour of governments borrowing lots of money, at least under some circumstances. The “New Keynesian” orthodoxy that evolved from his work in the second half of the 20th century was much less liberal in this regard. It put less faith in borrowing’s purported benefits, and had greater concerns about its dangers.
This article appeared in the Schools brief section of the print edition under the headline “Putting on weight”
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