Robert Hetzel is a senior economist and research advisor at the Richmond Federal Reserve Bank where he has worked since 1975. He joins the show to discuss the rise of monetarism and how Milton Friedman, his dissertation advisor, shaped his thinking on macroeconomics. Monetarism challenged the conventional Keynesian consensus in the 1970s and caused Keynesians to reformulate their views into a new doctrine called, “New Keynesianism.” However, in the wake of the Great Recession, “Old Keynesianism” has made a comeback. Hetzel pushes back against the Keynesian resurgence and explores other explanations of the 2008 crisis.