I would say this.
First, somewhere I have a link detailing the changes in the absolute numbers of employment during the Great Depression but I cannot find it. Actually, I am too lazy to search for it. But the total number of jobs lost in the first year of Great Depression far outstrips the total number of jobs lost thus far, and the economy was much smaller then.
Second, you are absolutely correct about the industrial economy being far greater as a percentage of the economy in 1930. However, that is plus for the economy today. The service economy is far more stable than the industrial economy, for a variety of reasons. Using the industrial economy in an era where intangible intellectual capital is far more ubiquitous in the creation of wealth is not really a good comparison for the general structure of the economy.
Third, GDP is a lagging indicator and it does include government spending. But government spending is one reason why this will not be a repeat of the Great Depression. Government acts as a counter-cyclical stabilizer that was nowhere near as prevalent as it is today.
You will notice in the graphs that GDP fell from about $96 billion to $78 billion in the first 18 months of the Depression, a decline of nearly 20%. Over the 18 months since the beginning of this recession, GDP is essentially flat and is down about 3% since the peak.
First, somewhere I have a link detailing the changes in the absolute numbers of employment during the Great Depression but I cannot find it. Actually, I am too lazy to search for it. But the total number of jobs lost in the first year of Great Depression far outstrips the total number of jobs lost thus far, and the economy was much smaller then.
Second, you are absolutely correct about the industrial economy being far greater as a percentage of the economy in 1930. However, that is plus for the economy today. The service economy is far more stable than the industrial economy, for a variety of reasons. Using the industrial economy in an era where intangible intellectual capital is far more ubiquitous in the creation of wealth is not really a good comparison for the general structure of the economy.
Third, GDP is a lagging indicator and it does include government spending. But government spending is one reason why this will not be a repeat of the Great Depression. Government acts as a counter-cyclical stabilizer that was nowhere near as prevalent as it is today.
You will notice in the graphs that GDP fell from about $96 billion to $78 billion in the first 18 months of the Depression, a decline of nearly 20%. Over the 18 months since the beginning of this recession, GDP is essentially flat and is down about 3% since the peak.