Teaching The Economic Consequences of the Peace
by John Maynard Keynes (1919)
Why Teach The Economic Consequences of the Peace?
The Economic Consequences of the Peace is John Maynard Keynes' prophetic 1919 critique of the Treaty of Versailles. After resigning from the British Treasury delegation in protest, Keynes argued that punishing Germany with impossible reparations would destabilize Europe and breed future conflict—a prediction that proved devastatingly accurate. Through Intelligence Amplifier™ analysis, we explore how these patterns of punitive thinking, short-term revenge, and ignoring long-term consequences appear in modern business, relationships, and personal decisions.
This 7-chapter work explores themes of Personal Growth—topics that remain deeply relevant to students' lives today. Our Intelligence Amplifier™ analysis helps students connect these classic themes to modern situations they actually experience.
Major Themes to Explore
Power
Explored in chapters: 3, 4, 5
Economic Interdependence
Explored in chapters: 2, 4
Identity
Explored in chapters: 3, 5
Class
Explored in chapters: 3, 5
Fragility
Explored in chapters: 1
Disconnection
Explored in chapters: 1
Willful Ignorance
Explored in chapters: 1
Awakening
Explored in chapters: 1
Skills Students Will Develop
Detecting Institutional Blindness
This chapter teaches how to recognize when organizations ignore obvious warning signs because acknowledging them would require uncomfortable action.
See in Chapter 1 →Recognizing False Victories
This chapter teaches how to spot when apparent success contains the seeds of future failure.
See in Chapter 2 →Detecting Rationalization Spirals
This chapter teaches how to spot when someone (including yourself) is creating elaborate justifications to protect their self-image rather than making ethical choices.
See in Chapter 3 →Detecting Systematic Destruction
This chapter teaches how to recognize when punishment escalates beyond correction into deliberate dismantling of someone's ability to recover.
See in Chapter 4 →Detecting Impossible Promises
This chapter teaches how to spot when leaders make commitments they know can't be kept while building systems to avoid accountability.
See in Chapter 5 →Recognizing System Stress
This chapter teaches how to spot the early warning signs when institutions begin failing, before the collapse becomes obvious to everyone.
See in Chapter 6 →Reading Institutional Revenge
This chapter teaches how to distinguish between legitimate business decisions and punishment disguised as policy.
See in Chapter 7 →Discussion Questions (35)
1. Why were the English able to live comfortably while Continental Europe was starving and in chaos?
2. What made the peace negotiators in Paris seem disconnected from the real consequences of their decisions?
3. Where do you see this pattern of 'comfortable blindness' in your own workplace, community, or family?
4. How would you stay aware of problems that don't directly affect you yet, but could eventually impact your stability?
5. What does Keynes' experience teach us about how distance from consequences changes our decision-making?
6. What made pre-1914 Europe's economic system seem so stable and prosperous on the surface?
7. Why did the four weaknesses Keynes identifies (population growth, interdependence, worker acceptance of low wages, and food dependency) make the system so fragile?
8. Where do you see this same pattern today - systems that appear strong but depend on unsustainable foundations?
9. How would you build genuine resilience in your own life instead of false prosperity that could collapse during a crisis?
10. What does Keynes's analysis reveal about why people ignore warning signs during good times?
11. How did Clemenceau's extreme opening positions actually help him get what he really wanted?
12. Why did Wilson's need to see himself as morally pure become his greatest weakness in negotiations?
13. Where do you see people today creating elaborate justifications to avoid admitting they were wrong about something important?
14. How would you design safeguards to prevent yourself from gradually compromising your core values while telling yourself it's justified?
15. What does Wilson's transformation reveal about the relationship between our self-image and our actual behavior?
16. What specific economic resources did Germany lose according to the Treaty of Versailles, and why did this make recovery nearly impossible?
17. Why did the Allies design punishments that went beyond making Germany pay for war damages to actually preventing future economic power?
18. Where do you see this pattern of escalating punishment in modern workplaces, relationships, or institutions—where consequences multiply beyond the original offense?
19. If you found yourself targeted for systematic destruction rather than fair consequences, what strategies would you use to protect your ability to rebuild?
20. What does this chapter reveal about how fear and the desire for security can drive people to become the very threat they're trying to prevent?
+15 more questions available in individual chapters
Suggested Teaching Approach
1Before Class
Assign students to read the chapter AND our IA analysis. They arrive with the framework already understood, not confused about what happened.
2Discussion Starter
Instead of "What happened in this chapter?" ask "Where do you see this pattern in your own life?" Students connect text to lived experience.
3Modern Connections
Use our "Modern Adaptation" sections to show how classic patterns appear in today's workplace, relationships, and social dynamics.
4Assessment Ideas
Personal application essays, current events analysis, peer teaching. Assess application, not recall—AI can't help with lived experience.
Chapter-by-Chapter Resources
Ready to Transform Your Classroom?
Start with one chapter. See how students respond when they arrive with the framework instead of confusion. Then expand to more chapters as you see results.