Milton Friedman


DEFINITION of 'Milton Friedman'

An American economist and statistician best known for his strong belief in free-market capitalism. Milton Friedman strongly opposed the views of Keynesian economists, encouraging governments to minimize their involvement in the economy by reducing taxes and ceasing inflationary policies.

BREAKING DOWN 'Milton Friedman'

During his time as professor at the University of Chicago, Friedman developed numerous free-market theories that opposed the views of traditional Keynesian economists. In his book A Monetary History of the United States, Friedman illustrates the role of monetary policy in creating and arguably worsening the Great Depression. Friedman's work in the field of economics was recognized in 1976, when he was awarded the Nobel Prize in Economics.

  1. Monetary Policy

    Monetary policy is the actions of a central bank, currency board ...
  2. Keynesian Economics

    An economic theory of total spending in the economy and its effects ...
  3. Free Enterprise

    An economic system where few restrictions are placed on business ...
  4. Supply-Side Theory

    An economic theory holding that bolstering an economy's ability ...
  5. Free Market

    A market economy based on supply and demand with little or no ...
  6. Equilibrium

    The state in which market supply and demand balance each other ...
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