The Great Depression - why did it end?

[Kevin_Kennedy]

Kevin, Bastiat missed two things in that analysis. 1st The Great Depression was an almost unique event historically. Hence in this case there were no jobs destroyed in the US because of the War, and a good many were created by it. 2nd the chief accomplishment of WWII was that it changed the psychological balance of the country. We suddenly had something worse to worry about than how many people were out of work. I don't think it would have worked at any other time in History nor do I think that it would work now.

Bastiat died in 1850. So he didn't miss the Great Depression, it simply hadn't happened yet. The Great Depression wasn't so unique that it trumps economics. The government taking money out of the private sector to finance it's wars always hurts the private sector, regardless of whether the economy is in a recession or not.

 

[midcan5]

The great depression ended a year or two after FDR was elected according to any chronological history you survey. The effects lasted for many years after that and the war finally brought people and business together in a Keynesian frenzy of work and spending. While OT that togetherness stayed put till Reagan began the decline of America with his destruction of the middle class worker and his war deficits.

Timeline of the Great Depression
The Great Depression, to 1935
Summary
The Main Causes of the Great Depression
Stiff upper lip.

[ame=http://www.amazon.com/Great-Depression-New-Deal-Introductions/dp/0195326342/ref=sr_1_8?ie=UTF8&qid=1230302046&sr=1-8]Amazon.com: The Great Depression and the New Deal: A Very Short Introduction (Very Short Introductions): Eric Rauchway: Books[/ame]

 

[DiveCon]

if you buy a tank, it creates jobs for everyone from the guys that actually build it to the people that supply them
also creates a profit for that business owner for which he pays taxes on
all those involved also pay taxes and spend that money creating yet more jobs

That is fucking stupid. If you buy a tank, you have a product that is only good for destruction, and will be obsolete and useful only as scrap iron in about 10 years. If you build a bridge where needed, you have created infrastructure that will last at least two generations, possibly five, and will enhance the economy of the region for that period.

If you build a new energy grid, you will create a process that will build on itself. And it will be constructive, not destructive.

building a new energy grid should be done by the power companies
since it would be them that would profit from it
not tax dollars
building a bridge would bennefit all drivers
and should be paid for from the gas tax that is supposed to be for roads and bridges
so you fail at both points

 

[Yukon]

I think it's time you people got your heads out out of the sand. The USA is now a socialist haven. The government technically owns all the banks, the big three auto companies, the energy companies, the military, the airlines - EVERYTHING of value in your country is owned by the Government yet you still cling to your feable minded belief that Medicare is socialism. Good God but you are so silly.......

 

[Bern80]

Seems like the New Deal wasn't big enough

It was largely irrelevant, as was WW2. The gold standard caused the problem and getting rid of it solved the problem. FDR's policies actually extended the depression 7-8 years.

This is an honest question so don't read anything into it. Aren't an awful lot of people complaining that part of the problem now is that there isn't anything backing our currency (i.e. gold).

 

[Bern80]

that chart always ends the discussion.

No it doesn't, this is just another in a long line of non-correlaries that get presented by the likes of yourself. Two things happening at the same time does not mean that one caused the other.

 

[Kevin_Kennedy]

Seems like the New Deal wasn't big enough

It was largely irrelevant, as was WW2. The gold standard caused the problem and getting rid of it solved the problem. FDR's policies actually extended the depression 7-8 years.

This is an honest question so don't read anything into it. Aren't an awful lot of people complaining that part of the problem now is that there isn't anything backing our currency (i.e. gold).

I don't know if you wanted MidnightMarauder to answer specifically, but if we had a real gold standard it would stop the Fed from inflating the money supply and tampering with the interest rates. Both of which were probably among the main causes of our current crisis.

 

[Yukon]

Nixon removed the USA from the gold standard in 1971 to fuel his illegal Vietnam war.

 

[Kevin_Kennedy]

Nixon removed the USA from the gold standard in 1971 to fuel his illegal Vietnam war.

We were off the gold standard long before this.

 

[DiveCon]

Nixon removed the USA from the gold standard in 1971 to fuel his illegal Vietnam war.

We were off the gold standard long before this.

FDR did it


just more proof that yukon is an idiot

 

[DiveCon]

Nixon removed the USA from the gold standard in 1971 to fuel his illegal Vietnam war.

you really are an idiot
Nixon didnt even start the Vietnam war
keep showing what a fucking moron you are

 

[Toro]

As I stated earlier it was Adolph Hitler who ended the Great Depression by attacking Poland.

Maybe we can end this depression by having Obama attack British Columbia!

 

[DiveCon]

As I stated earlier it was Adolph Hitler who ended the Great Depression by attacking Poland.

Maybe we can end this depression by having Obama attack British Columbia!

or maybe slightly to the north of BC

 

[manu1959]

As I stated earlier it was Adolph Hitler who ended the Great Depression by attacking Poland.

Maybe we can end this depression by having Obama attack British Columbia!

i think he is trying to end it by attacking the wealthy suburbs of america..........

 

[Chris]

As I stated earlier it was Adolph Hitler who ended the Great Depression by attacking Poland.

Maybe we can end this depression by having Obama attack British Columbia!

i think he is trying to end it by attacking the wealthy suburbs of america..........

I'm all for it.

We can start with the hedge fund managers!

 

[DiveCon]

Maybe we can end this depression by having Obama attack British Columbia!

i think he is trying to end it by attacking the wealthy suburbs of america..........

I'm all for it.

We can start with the hedge fund managers!

how about we start with Realtors who convinced people they could afford houses beyond their means?

 

[Chris]

i think he is trying to end it by attacking the wealthy suburbs of america..........

I'm all for it.

We can start with the hedge fund managers!

how about we start with Realtors who convinced people they could afford houses beyond their means?

Only 6% of homes are in foreclosure.

Nice try at deflecting the blame from the real problem, which is the $519 trillion dollar derivative bubble.

 

[DiveCon]

I'm all for it.

We can start with the hedge fund managers!

how about we start with Realtors who convinced people they could afford houses beyond their means?

Only 6% of homes are in foreclosure.

Nice try at deflecting the blame from the real problem, which is the $519 trillion dollar derivative bubble.

LOL
you are a part of the real problem

 

[Chris]

how about we start with Realtors who convinced people they could afford houses beyond their means?

Only 6% of homes are in foreclosure.

Nice try at deflecting the blame from the real problem, which is the $519 trillion dollar derivative bubble.

LOL
you are a part of the real problem

Personal attack.

Another deflection.

People sitting on their butts collecting government checks like you are the problem.

 

[Yukon]

Anyone collecting money from the government for doing noting is the problem - I don't care what excuse you have for taking it - former GI Joe, single mother, etc, etc - you're a BUM !