"I have chosen my title, “Keynesian Follies,” carefully. Folly is defined as (1) lack of good sense or of normal prudence, (2) inability or refusal to accept existing reality or to foresee inevitable consequences. Both of these definitions convey something of the policy stance that I associate with the term Keynesian. I have put “follies” plurally in my title in order to suggest that several separate but related elements are involved, and, also, to hint that, to an extent, the whole historical episode has theatrical aspects of its own."