New Classical Economics: The Rise of Rational Expectations | Lucas Critique Simplified

Описание: This video explains the key concepts and critiques of New Classical Macroeconomics (NCE) — a school of thought that reshaped modern macroeconomics in the 1970s.

Learn about the Rational Expectations Hypothesis, Continuous Market Clearing, and the Lucas Critique, all central to understanding how economists like Robert Lucas challenged traditional Keynesian models.

📘 Topics Covered:

Origin of New Classical Macroeconomics

Rational Expectations Hypothesis (REH)

Continuous Market Clearing (CMC)

Policy Ineffectiveness Proposition

Lucas Critique

Ricardian Equivalence

Criticisms and Significance

🎯 Perfect For:
Economics students, IIT JAM Economics aspirants, UPSC optional prep, and anyone interested in macroeconomic theory.

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