You can read here a rant from Mises about Keynesian economics, which was originally published in Plain Talk (March, 1948).
Talking of Keynesian policies in America in 1948, we have this priceless prediction:
“The Keynesian recipe to make wage rates soar no longer works. Credit expansion, on an unprecedented scale engineered by the New Deal, for a short time delayed the consequences of inappropriate labor policies. During this interval the Administration and the union bosses could boast of the “social gains” they had secured for the “common man.” But now the inevitable consequences of the increase in the quantity of money and deposits has become visible; prices are rising higher and higher. What is going on today in the United States is the final failure of Keynesianism.”America in 1948 was, according to Mises, undergoing the “final failure of Keynesianism.” This, on the eve of an era of astonishing prosperity, real GDP growth, and real wage growth that we now call the Golden Age of Capitalism (1945–1973), in which Keynesian policies of aggregate demand management were used not only in America, but also in virtually every other country to deliver high employment and strong economic growth.
We can gauge the success of economic policy in these years by average OECD real per capita GDP growth rate estimates:
1700–1820 – 0.2%Of all the periods, the era 1950–1973 – the era of classic Keynesianism – is the hands down winner.
1820–1913 – 1.2%
1919–1940 – 1.9%
1950–1973 – 4.9%
1973–1990 – 2.5%
(Davidson 1999: 22).
There was no “final failure” of Keynesianism in 1948 in America, and no “failure” at all. Keynesian fiscal policies are alive and well today, and for how Keynesianism was used in the Bretton Woods era in the US see my post here:
Davidson, P. 1999. “Global Employment and Open Economy Macroeconomics,” in J. Deprez and J. T. Harvey (eds), Foundations of International Economics: Post Keynesian Perspectives, Routledge, London and New York. 9–34.
Mises, L. von. “Stones into Bread: The Keynesian Miracle,” Mises Daily, July 14, 2005 (originally printed in Plain Talk, March 1948), http://mises.org/daily/1840