The problem under investigation in this study is the determination of the usefulness of the concept of saving set forth by John M. Keynes in his The General Theory of Employment, Interest and Money, both as a method of prediction and prevention of business cycles and as a conceptual framework which is for use in explaining past economic activity, particularly economic growth. The study has a twofold purpose. The first is to evaluate the workability of the Keynesian definitions when applied to existing sources of economic data; to see if a meaningful savings aggregate is a statistical possibility. The second is to attempt to explain in terms of related parts of the rest of Keynes' theoretical system the conclusions reached under the first purpose above.

Capitalism has developed in something less than two hundred years into a system of doctrines and values which influence man's development around the world. It takes many forms and it functions within differing cultures and with different shades of meaning. It is an intensely penetrating economic system, never satisfied to contain itself within any given geographical area for long. It is the dominant economic structure of western civilization today and is seeking a foothold in eastern culture. For this reason it is being subjected to searching question. In any attempt to evaluate capitalism one is immediately struck by the plurality and confusion of its values. This thesis will attempt to trace the history of that plurality and confusion; to show how and why they arose; to relate economic values to the humanity which must live with them. All human values are subject to change and all social values are relative. Economic systems are social institutions and as such are directly related to the other institutions of any given society. For this reason the search for capitalistic values must be made within the social milieu as a whole. The economic system cannot be set apart from the church, the state, the …