Usually Keynsian economics is understood as economic thought that is based on aggregate demand, this is for example the view Wikipedia takes. [1] From there it is straightforward to argue that higher wages lead to higher employment, a view that makes Keynsian economics popular on the left.<p>The view, that too high wages cause unemployment, is a staple of supply side economics, the view that the economic process is driven by the supply side.<p>Krugman argues a lot about sticky wages recently, but not because this is a central tenet of Keneysian economics. Krugmann argues about sticky wages because it is a good argument against the troika&#x27;s handling of the Greek crisis, since the internal adjustment in the Euro area would either mean inflation in Germany or deflation in Greece.<p>[1]  <a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Keynesian_economics" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Keynesian_economics</a>