The government caused the Great Depression and WILL cause the next one

[Sematary]

This article was written FOUR YEARS AGO, but it reads like - well, you'll see. Some highlights:

"Why the Great Depression lasted so long has always been a great mystery, and because we never really knew the reason, we have always worried whether we would have another 10- to 15-year economic slump," said Ohanian, vice chair of UCLA's Department of Economics. "We found that a relapse isn't likely unless lawmakers gum up a recovery with ill-conceived stimulus policies."

http://www.newsroom.ucla.edu/portal/ucla/FDR-s-Policies-Prolonged-Depression-5409.aspx?RelNum=5409

 

[kathy88]

Excellent read. Thank you for posting.

 

[Sematary]

Excellent read. Thank you for posting.

I'm doing research for my own personal edification and while I've heard that FDR was largely responsible for extending the depression (not causing it), I wanted to find out how. We are obviously DUE for a correction which, as it happens, wouldn't be necessary if the government hadn't had policies which artificially inflated home prices and caused the bubble that is now bursting. But now, if they interfere (and they will) with the inevitable correction, they WILL prolong the pain.

My wife and I are already discussing how we are going to survive if we enter a period where unemployment reaches unimaginable levels. I started putting canned goods away months ago and am now considering storing some gasoline and water as well figuring out how we can get ahold of a generator in case we can't pay the electric bill.

 

[kathy88]

I'm doing research for my own personal edification and while I've heard that FDR was largely responsible for extending the depression (not causing it), I wanted to find out how. We are obviously DUE for a correction which, as it happens, wouldn't be necessary if the government hadn't had policies which artificially inflated home prices and caused the bubble that is now bursting. But now, if they interfere (and they will) with the inevitable correction, they WILL prolong the pain.

My wife and I are already discussing how we are going to survive if we enter a period where unemployment reaches unimaginable levels. I started putting canned goods away months ago and am now considering storing some gasoline and water as well figuring out how we can get ahold of a generator in case we can't pay the electric bill.

It's a crying shame our once prosperous wonderful nation has come to this via greed.

 

[Sematary]

It's a crying shame our once prosperous wonderful nation has come to this via greed.

We're not there - yet.

 

[wbbgjr]

Try reading America's Great Depression by Murray Rothbard. It is written by a well respected Austrian School economists (same line of thinking as Ron Paul).

By the way guys... remember to contact your representatives on getting this Bailout Bill stopped. I believe this should be our number 1 priority right now.

 

[anaconda]

Even the old classical economists understood that a downward adjustment in the real wage would restore employment equilibrium. Roosevelt should have known better. Maybe he did?

 

[Truth Warrior]

The Great Depression was an "inside job".

"In politics, nothing happens by accident. If it happens, you can bet it was planned that way." -- Franklin D. Roosevelt