"I think that today Keynesian economists primarily distinguish themselves from other economists through their belief that you cannot understand the behavior of our economy on the assumption that it is always at or near a full, or Walrasian, equilibrium, and that you cannot account for the movements that you see in output and employment on the assumption that everything you see is at the intersection of traditional supply and demand curves, and that the movements are only accounted for by shifts in those curves People who think of themselves as Keynesian economists can be divided as to what they would put in place of Walrasian equilibrium. Some of them think that what we observe in the world is a disequilibrium. If the economy is moving toward Walrasian equilibrium, it is doing so very slowly. Another group of Keynesian economists, who are in some ways closer to Keynes, believe that the economy is characterized by multiple equilibria; a modern capitalist economy is capable perhaps of producing a good Walrasian equilibrium, but also a bad equilibrium, that is, a situation with bad welfare properties and without forces that move the economy away from such a situation. I find myself halfway between those two schools of thought. I used to think that the correct analysis would emphasize disequilibrium. Now I have some doubts about that. Either of these approaches is a Keynesian alternative to the idea that the economy should be regarded as being in a Walrasian equilibrium."