Worst Economy Since The Depression?

[Terri]

By Gary Wolfram
February 29, 2008

Some in the media try to claim that we are in the beginnings of a recession in an attempt to make the case for larger government intervention in the economy. It is instructive to consider an era when there was a truly severe economic downturn, the Great Depression, in order to give some perspective to our current situation and whether government action is likely to help or hinder things.

Great Depression by the Numbers

Economic growth: The Great Depression was a period of decline that involved not just the economy of the United States but that of the entire world. The economy began to falter in 1929. When it hit bottom in 1933, world production had fallen by one-half, with the United States economy declining by 29 percent.

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[MamaCat]

A must-read on the parallels between the Great Depression and where we are now is The Forgotten Man by Amity Schlaes. A real eye-opener. Mr. Wolfram has made several of the same points here. What he didn't mention is that FDR gathered the "progressives" of that day around him -- men and women who used the Soviet Union as their model -- and employed their devices to build himself an empire. He was not this country's "savior" from the Depression; he extended it by some of the policies he signed and the social programs he put in place with the help of a willing Congress.

[Texas Teacher]

Not only can this not be compared to the Great Depression, it doesn't even compare to the Carter years of double digit inflation and interest rates.

The economy is growing and jobs are being created. Why would this be considered a depression? Do these people have no brains or are they deliberatly trying to deceive the people?

[elmerck1]

Amen teacher. The dems arew trying to get an edge on the upcoming election, so they are throwing out all kind of ills in our country, The only thing wrong with this tactic is they have no clue as to what will help the economy, which right now does not need any help.Gloom and doom. THAT IS THEIR MOTTO!

[FlaJim]

FDR deliberately facilitated policies to make the average American feel dependent on the Federal government. His closest advisers were all socialists and Communists. That was proven by the House Unamerican Activities Committee in the 50s. Mostly, he appealed to the uneducated and women who both were all too willing to accept the idea of a sugar daddy in DC who, in reality, was doing everything he could to limit their prospects of advancement. Those two groups rewarded him with 3 additional terms.

There's no difference between him and today's batch of leftists in the Dem party. Mr. Wofram doesn't seem to understand that they don't have a solution for the economy in terms of strengthening it. They want nothing of the sort. They want a poor economy in order to make more people dependent on them for as long as possible. That way, they can always blame someone else, something the late USSR did for a long time and what Cuba has been doing for nearly 50 years.

American liberals have nothing but hatred and contempt for America in general. Anyone outside their tiny orbits are the enemy and this self-anointed elite believes we're far too stupid to manage our own affairs. A pox on them all.

[elmerck1]

FLAJIM. You drove that nail all the way plum in one hit. Way to go!!!!!!!

[Amawalk John]

As the old saying goes, "when your neighbor loses his job it's a 'recession'; when you lose your job it's a 'depression'". Newspapers and other media companies have been downsizing for years. While it's true that the economy has slowed, when viewed through the eyes of such employees, it must look like the end of the world.

I expect to hear the word "depression" quite frequently from people in the media, particularly traditional liberal newspapers like the New York Times that have mismanaged their businesses and lost the trust and loyalty of their readership.

Frankly, if my 401k and company pension were in any way tied to the performance of the New York Times, I'd be depressed too.

[schillerbjr]

The "liberal" media and their ilk must be on another planet!! If they this this is a depression,
I would hate to see what they say if we have a
"real one"!!

[Charie]

are they deliberatly trying to deceive the people?

I pick this one, Tex.

I have never seen such a proliferation of boats, jet skis, RVs, pick -up trucks, big screen TVs and items that used to be affordable only by the wealthy just since President Bush got into office.

How many women get pedicures, manicures and fake fingernails? How many people do you know who own huge TVs and huge sound systems? How many do you know who go on cruises regularly or go to Las Vegas? How many own cottages besides their own houses.

Only 10 years ago most of these things were practically unknown to most people or at least unaffordable. There's been a regular explosion of goods and services since the president was elected (not Selected, demwits!!)

For people to believe we're in a recession boggles my imagination. In which alternative universe do they live?

[studebaker51]

How many women get pedicures, manicures and fake fingernails? How many people do you know who own huge TVs and huge sound systems? How many do you know who go on cruises regularly or go to Las Vegas? How many own cottages besides their own houses.

I agree. I'll even add: When was the last time someone you know purchased a "plain Jane", basic vehicle? People I know are buying automobiles with options that used to be available only on luxury cars (if at all). Pick-up trucks used to be utility vehicles, now they resemble high end luxury cars. All of this extravagance is not "needed", but wanted...and folks pay the increasing higher prices for it.

I've often said that people don't drive a vehicle, they want their living room on wheels...with DVD players, wall-to-wall leather & sound systems that rival high-end home entertainment systems.