Keynes theory: proving to be so true in this period of slowdown!!

Our economics teacher of 2nd semester Ms Renu Verma was so fond of Keynes, in every situation she would introduce Mr. Keynes in the lecture and say, " You can bring the horse to water but never force it to drink it".
This theory has become so relevant when linked to the current financial situation.The research work done by this economist in 1930s is applicable !! Hats Off to you sir..... The theory propounded by John Maynard Keynes, popularly known as the Keynesian Theory, serves as a foundation for the modern economics. The great Depression period which began in 1929 left the government yearning for more study in the field of Macroeconomics. Mr. Keynes, in his magnum opus 'General Theory of Employment, Interest and Money' published in 1936 suggested that subject to certain assumptions, level of equilibrium at full employment could be reached only with the deliberate intervention of the governments. What Keynes advocated was to introduce Government Expenditures to overcome the shortages in aggregate demand to achieve the level of full employment in an economy. He strongly professed Government intervention through fiscal policy measures to solve the problem of unemployment and stabilise the economy. The theory states that in order to reach the level of full employment, the government must increase its spending to generate employment opportunities in the nation. This would lead to income generation which would stimulate the consumption demand thus balancing the demand and supply at the full employment level. To attain this purpose, the government can use the fiscal and monetary policies as weapons to control the activities in the economy.

Hence, the governments across the world have made efforts to infuse liquidity directly into the systems by means of economic stimulus packages.