[{"data":1,"prerenderedAt":58},["ShallowReactive",2],{"term:animal-spirits":3},{"term":4,"related":45},{"id":5,"title":6,"body":7,"category":27,"description":28,"extension":29,"faq":30,"meta":31,"navigation":32,"path":33,"related":34,"seo":38,"stem":39,"takeaways":40,"__hash__":44},"terms\u002Fterms\u002Fanimal-spirits.md","Animal Spirits",{"type":8,"value":9,"toc":22},"minimark",[10,15,19],[11,12,14],"h2",{"id":13},"understanding-animal-spirits","Understanding Animal Spirits",[16,17,18],"p",{},"In the General Theory, Keynes argued that many business decisions are not the result of precise calculation but of a spontaneous urge to act, which he called animal spirits.",[16,20,21],{},"Swings in confidence can therefore drive investment and the business cycle. Economists George Akerlof and Robert Shiller revived the term in their 2009 book Animal Spirits.",{"title":23,"searchDepth":24,"depth":24,"links":25},"",2,[26],{"id":13,"depth":24,"text":14},"economy","Keynes's term for the emotions and confidence that drive investment decisions.","md",[],{},true,"\u002Fterms\u002Fanimal-spirits",[35,36,37],"keynesian-economics","aggregate-demand","business-cycle",{"title":6,"description":28},"terms\u002Fanimal-spirits",[41,42,43],"Confidence and emotion shape investment.","Shifts in sentiment can drive booms and busts.","The idea comes from Keynes's General Theory.","Jtbut3tdQ9TqFCvrRnEL9Ip91VU9nEI2M5n5gKxuZKg",[46,50,54],{"title":47,"description":48,"path":49},"Aggregate Demand","Total spending on an economy's goods and services at each overall price level.","\u002Fterms\u002Faggregate-demand",{"title":51,"description":52,"path":53},"Business Cycle","The recurring rise and fall of economic activity around its long-run trend.","\u002Fterms\u002Fbusiness-cycle",{"title":55,"description":56,"path":57},"Keynesian Economics","The school of thought that total demand drives output and employment in the short run, and that policy can stabilize it.","\u002Fterms\u002Fkeynesian-economics",1793374004432]