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Dorothea Lange's Migrant Mother depicts destitute pea pickers in California, centering on Florence Owens Thompson, age 32, a mother of seven children, in Nipomo, California, March 1936.
.The Great Depression was a severe worldwide economic depression in the decade preceding World War II.^ "This is THE best economics book on the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Labels: economic crisis , economics , Great Depression .

^ The Great Depression accomplished several goals.
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

.The timing of the Great Depression varied across nations, but in most countries it started in about 1929 and lasted until the late 1930s or early 1940s.^ The Great Depression truly was a depressing time.
  • Great Depression 27 January 2010 23:58 UTC lilt.ilstu.edu [Source type: FILTERED WITH BAYES]

^ Those were the days of the Great Depression, which started in 1929 and carried on through much of the 1930s.

^ The Great Depression lasted from October 24, 1929 until the economic recovery of the 1940s.
  • Great Depression@Everything2.com 27 January 2010 23:58 UTC everything2.com [Source type: Original source]

[1] .It was the longest, most widespread, and deepest depression of the 20th century, and is used in the 21st century as an example of how far the world's economy can decline.^ The story of the World Wide Great Depression and how it effected the 20th Century .
  • The Great Depression 27 January 2010 23:58 UTC history-world.org [Source type: News]

^ It was the longest and most severe depression ever experienced by the industrialized Western world.

^ It was the largest and most severe economic depression in the 20th century, and is used in the 21st century as an example of how far the world's economy can decline.

[2] .The depression originated in the United States, starting with the stock market crash of October 29, 1929 (known as Black Tuesday), but quickly spread to almost every country in the world.^ This led to the stock market crash.
  • Great Depression and Current Recession Compared · Believe All Things 12 January 2010 1:55 UTC www.believeallthings.com [Source type: Original source]

^ Confidence in banks waned after the stock market collapse in October 1929.

^ But by itself the stock market crash did not cause the depression.
  • Great Depression, by Robert J. Samuelson: The Concise Encyclopedia of Economics | Library of Economics and Liberty 6 February 2010 13:46 UTC www.econlib.org [Source type: Original source]

[1]
.The Great Depression had devastating effects in virtually every country, rich and poor.^ The impact of the Great Depression was devastating.
  • The ‘credit crunch’: another Great Depression? | spiked 27 January 2010 23:58 UTC www.spiked-online.com [Source type: FILTERED WITH BAYES]

^ History: The causes and effects of the Great Depression.
  • Great Depression 27 January 2010 23:58 UTC lilt.ilstu.edu [Source type: FILTERED WITH BAYES]

^ The first effect of the Great Depression was unemployment.
  • Causes and Effects of the Great Depression | Socyberty 12 January 2010 1:55 UTC socyberty.com [Source type: General]

.Personal income, tax revenue, profits and prices dropped, and international trade plunged by a half to two-thirds.^ International trade declined sharply, as did personal incomes, tax revenues , prices and profits.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ International trade has fallen by two-thirds since 1929.
  • Timeline of the Great Depression 27 January 2010 23:58 UTC www.huppi.com [Source type: Original source]
  • Timeline of the Great Depression 27 January 2010 23:58 UTC cla.calpoly.edu [Source type: Original source]

^ International trade plunged by half to two-thirds, as did personal income, tax revenue, prices and profits.

.Unemployment in the United States rose to 25%, and in some countries rose as high as 33%.^ In the United States even at the very end of the Depression unemployment was high.
  • Sliding into the Great Depression 3 February 2010 18:47 UTC econ161.berkeley.edu [Source type: Original source]

^ Unemployment was as high as 40 percent in some neighborhoods.
  • Survivors Of The Great Depression Tell Their Stories : NPR 3 February 2010 18:47 UTC www.npr.org [Source type: General]

^ In the United States, at the depth (1932–33) of the depression, there were 16 million unemployed—about one third of the available labor force.
  • Great Depression: Free Encyclopedia Articles at Questia.com Online Library 27 January 2010 23:58 UTC www.questia.com [Source type: Academic]

[3] .Cities all around the world were hit hard, especially those dependent on heavy industry.^ Cities all around the world were hit hard, especially those dependent on heavy industry.

^ During those years, Chicago was especially hard-hit.
  • Survivors Of The Great Depression Tell Their Stories : NPR 3 February 2010 18:47 UTC www.npr.org [Source type: General]

^ Small businesses were hit especially hard.
  • The Real Great Depression - iTulip.com 27 January 2010 23:58 UTC itulip.com [Source type: General]

.Construction was virtually halted in many countries.^ Construction was virtually halted in many countries.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ In many other ex-USSR countries, whole economies virtually came to a standstill, hardly producing anything for years.
  • The second Great Depression has arrived … - Paul Krugman Blog - NYTimes.com 3 February 2010 18:47 UTC krugman.blogs.nytimes.com [Source type: General]

^ The CCC preformed many useful tasks, and manned thousands of construction, restoration, and conservation projects across the country.
  • The Great Depression, the Civilian Conservation Corps, and an American Legacy 3 February 2010 18:47 UTC asms.k12.ar.us [Source type: Original source]

.Farming and rural areas suffered as crop prices fell by approximately 60 percent.^ Farming and rural areas suffered as crop prices fell by approximately 60 percent.

^ Farm owners and agricultural workers suffered from falling crop prices.
  • Great Depression@Everything2.com 27 January 2010 23:58 UTC everything2.com [Source type: Original source]

^ Farming and rural areas suffered as crop prices fell by 40 to 60 percent.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[4][5][6] .Facing plummeting demand with few alternate sources of jobs, areas dependent on primary sector industries such as cash cropping, mining and logging suffered the most.^ Worst hit were areas dependent on primary industries such as farming, mining and logging, as prices fell and there were few alternative jobs.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ Facing plummeting demand with few alternate sources of jobs, areas dependent on primary sector industries such as farming, mining and logging suffered the most.

^ We have become so dependant on foreign oil that we have neglected to fully utilize such natural sources of energy such wind power & solar power.
  • Are We Too Young to Remember the Great Depression? - Economix Blog - NYTimes.com 3 February 2010 18:47 UTC economix.blogs.nytimes.com [Source type: General]

[7]
Countries started to recover by the mid-1930s, but in many countries the negative effects of the Great Depression lasted until the start of World War II.[8]
USA annual real GDP from 1910–60, with the years of the Great Depression (1929–1939) highlighted.
Unemployment rate in the US 1910–1960, with the years of the Great Depression (1929–1939) highlighted.

Start of the Great Depression

US industrial production (1928–39).
US Farm Prices, (1928–35).
.Historians most often attribute the start of the Great Depression to the sudden and total collapse of US stock market prices on October 29, 1929, known as Black Tuesday.^ Confidence in banks waned after the stock market collapse in October 1929.

^ Stock prices weakened in September and then plummeted on Black Tuesday (October 29th).
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

[1] .However, some dispute this conclusion, and see the stock crash as a symptom, rather than a cause of the Great Depression.^ The crash was the primary catalyst for the Great Depression .
  • SparkNotes: The Great Depression (1920–1940): Key People & Terms 3 February 2010 18:47 UTC www.sparknotes.com [Source type: Original source]

^ But by itself the stock market crash did not cause the depression.
  • Great Depression, by Robert J. Samuelson: The Concise Encyclopedia of Economics | Library of Economics and Liberty 6 February 2010 13:46 UTC www.econlib.org [Source type: Original source]

^ But the Fed was the cause of the great depression.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

[3][9] .Even after the Wall Street Crash of 1929, optimism persisted for some time; John D. Rockefeller said that "These are days when many are discouraged.^ For this reason many have said that the Depression started on Main Street and not Wall Street.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ However, even shortly after the Wall Street Crash of 1929, optimism persisted ; John D. Rockefeller said that "These are days when many are discouraged.

^ The 1929 Crash occurred even though: .
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.In the 93 years of my life, depressions have come and gone.^ In the 93 years of my life, depressions have come and gone.
  • H102 Lecture 18: The Crash and the Great Depression 27 January 2010 23:58 UTC us.history.wisc.edu [Source type: FILTERED WITH BAYES]
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]

^ Through this promotion of artistic expression the New Deal impacted the cultural life of the Depression years and contributed significantly to changes in American life during the 1930s.
  • The Great Depression and the Arts 3 February 2010 18:47 UTC newdeal.feri.org [Source type: FILTERED WITH BAYES]

^ The second part of my forecast was another -5% to -10% coming off during an additional two year period.
  • The Coming Great Depression -- Seeking Alpha 3 February 2010 18:47 UTC seekingalpha.com [Source type: General]

.Prosperity has always returned and will again."^ Prosperity has always returned and will again."
  • H102 Lecture 18: The Crash and the Great Depression 27 January 2010 23:58 UTC us.history.wisc.edu [Source type: FILTERED WITH BAYES]
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]

[10] .The stock market turned upward in early 1930, returning to early 1929 levels by April, though still almost 30% below the peak of September 1929.[11] Together, government and business actually spent more in the first half of 1930 than in the corresponding period of the previous year.^ Automotive exports in the first quarter of 1930 fell 46% below 1929 levels.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ The stock market turned upward in early 1930, returning to early 1929 levels by April, though still almost 30 percent below of peak in September 1929.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ While the great stock market crash of 1929 actually began on Oct.
  • 'The Return of the Great Depression' 12 January 2010 1:55 UTC www.wnd.com [Source type: News]
  • 'The Return of the Great Depression' 3 February 2010 18:47 UTC www.wnd.com [Source type: General]

But consumers, many of whom had suffered severe losses in the stock market the previous year, cut back their expenditures by ten percent, and a severe drought ravaged the agricultural heartland of the USA beginning in the summer of 1930.
.By mid-1930, interest rates had dropped to low levels, but expected deflation and the reluctance of people to add new debt by borrowing, meant that consumer spending and investment were depressed.^ In early 1930, credit was ample and available at low rates, but people were reluctant to add new debt by borrowing.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • Dow Jones Industrials Crash Analysis - Great Depression Versus Today - The Economy Article - dow jones, stock market, depression 27 January 2010 23:58 UTC www.bestcashcow.com [Source type: General]

^ But it is consumer debt that will trigger the depression.
  • The Great Depression of Debt, Warren Brussee, Book - Barnes & Noble 3 February 2010 18:47 UTC search.barnesandnoble.com [Source type: General]

^ Followed by drop in consumer spending.
  • " + soundfiledesc + " 3 February 2010 18:47 UTC www.econtalk.org [Source type: Original source]

[12] .In May 1930, automobile sales had declined to below the levels of 1928. Prices in general began to decline, but wages held steady in 1930; but then a deflationary spiral started in 1931. Conditions were worse in farming areas, where commodity prices plunged, and in mining and logging areas, where unemployment was high and there were few other jobs.^ Worst hit were areas dependent on primary industries such as farming, mining and logging, as prices fell and there were few alternative jobs.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ Farm income had also showed a steady decline.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ By May 1930, auto sales had declined to below the levels of 1928.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • Dow Jones Industrials Crash Analysis - Great Depression Versus Today - The Economy Article - dow jones, stock market, depression 27 January 2010 23:58 UTC www.bestcashcow.com [Source type: General]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.The decline in the US economy was the factor that pulled down most other countries at first, then internal weaknesses or strengths in each country made conditions worse or better.^ The decline in the US economy was the factor that pulled down most other countries at first, then internal weaknesses or strengths in each country made conditions worse or better.

^ The decline in the American economy was the factor that pulled down most other countries at first, then internal weaknesses or strengths in each country made conditions worse or better.
  • Dow Jones Industrials Crash Analysis - Great Depression Versus Today - The Economy Article - dow jones, stock market, depression 27 January 2010 23:58 UTC www.bestcashcow.com [Source type: General]

^ The decline in the American economy was the motor that pulled down most other countries at first, then internal weaknesses or strengths in each country made conditions worse or better.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.Frantic attempts to shore up the economies of individual nations through protectionist policies, such as the 1930 U.S. Smoot–Hawley Tariff Act and retaliatory tariffs in other countries, exacerbated the collapse in global trade.^ The Smoot-Hawley Tariff Act that Hoover signed in 1930 devastated international trade.

^ If you have a global economy, then you will have a global economic collapse.

^ And it was the Hoover administration that passed the Smoot-Hawley Tariff increase of 1930 .
  • Marginal Revolution: Understanding Fiscal Policy During the Great Depression 3 February 2010 18:47 UTC www.marginalrevolution.com [Source type: General]

By late in 1930, a steady decline set in which reached bottom by March 1933.

Naming

.The term "The Great Depression" is most frequently attributed to British economist Lionel Robbins, whose 1934 book The Great Depression is credited with formalizing the phrase,[13] though Hoover is widely credited with popularizing the term,[13][14] informally referring to the downtown as a depression, with such uses as "Economic depression cannot be cured by legislative action or executive pronouncement," (December 1930, Message to Congress) and "I need not recount to you that the world is passing through a great depression," (1931).^ "This is THE best economics book on the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ When you think total economic disaster, you think "The Great Depression."

^ "The Great Depression," as shorthand for the 1930s, may not have appeared until the British economist Lionel Robbins used it as a book title in 1934.
  • Powell's Books - PowellsBooks.Blog - Review-a-Day - The Worst of Times: Revisiting the Great Depression 3 February 2010 18:47 UTC www.powells.com [Source type: General]

.The term "depression" to refer to an economic downturn dates to the 19th century, when it was used by varied Americans and British politicians and economists.^ Why did Hoover choose the term "depression" for this economic downturn?
  • H102 Lecture 18: The Crash and the Great Depression 27 January 2010 23:58 UTC us.history.wisc.edu [Source type: FILTERED WITH BAYES]

^ American economists and politicians had referred to previous economic downturns as "Panics," such as the "Panic of 1873" and the "Panic of 1893."
  • H102 Lecture 18: The Crash and the Great Depression 27 January 2010 23:58 UTC us.history.wisc.edu [Source type: FILTERED WITH BAYES]

^ "The Great Depression," as shorthand for the 1930s, may not have appeared until the British economist Lionel Robbins used it as a book title in 1934.
  • Powell's Books - PowellsBooks.Blog - Review-a-Day - The Worst of Times: Revisiting the Great Depression 3 February 2010 18:47 UTC www.powells.com [Source type: General]

.Indeed, the first major American economic crisis, the Panic of 1819, was described by then-president James Monroe as "a depression",[13] and the most recent economic crisis, the Depression of 1920–21, had been referred to as a "depression" by then president Calvin Coolidge.^ Labels: economic crisis , economics , Great Depression .

^ Indeed, this is the origin of the economic Depression we are facing.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ Labels: economic crisis , Great Depression .

.However, financial crises were traditionally referred to as "panics", most recently the major Panic of 1907, and the minor Panic of 1910–1911, though the 1929 crisis was called "The Crash", and the term "panic" has since fallen out of use.^ The 1929 Crash occurred even though: .
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ However, even shortly after the Wall Street Crash of 1929, optimism persisted ; John D. Rockefeller said that "These are days when many are discouraged.

^ Although most hedge fund managers in 2008 couldn’t escape the carnage from what many have called the worst financial crisis since the Great Depression, their industry overall lost less money than did other investors.
  • » great depression » Hedge Fund News From HedgeCo.Net 27 January 2010 23:58 UTC www.hedgeco.net [Source type: News]

.At the time of the Great Depression, the term "The Great Depression" was already used to referred to the period 1873–96 (in the United Kingdom), or more narrowly 1873–79 (in the United States), which has retroactively been renamed the Long Depression.^ The Great Depression truly was a depressing time.
  • Great Depression 27 January 2010 23:58 UTC lilt.ilstu.edu [Source type: FILTERED WITH BAYES]

^ The depression had become a long-term crisis.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ During the Great Depression, the United States was a far more agrarian culture.
  • Great Depression taught lasting, positive life lessons 12 January 2010 1:55 UTC www.azcentral.com [Source type: News]

Causes

Crowd gathering on Wall Street after the 1929 crash.
.There were multiple causes for the first downturn in 1929, including the structural weaknesses and specific events that turned it into a major depression and the way in which the downturn spread from country to country.^ Is it any wonder that there is a depression in this country?
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ What truly drove the country into depression in the first place?
  • Fruits of the Great Depression: Christmas memories | Metro - cleveland.com - cleveland.com 3 February 2010 18:47 UTC blog.cleveland.com [Source type: FILTERED WITH BAYES]

^ What was the major political cause of the Great Depression?
  • The Great Depression Webquest 12 January 2010 1:55 UTC www.kn.pacbell.com [Source type: General]

.In relation to the 1929 downturn, historians emphasize structural factors like massive bank failures and the stock market crash, while economists (such as Barry Eichengreen, Milton Friedman and Peter Temin) point to monetary factors such as actions by the US Federal Reserve that contracted the money supply, and Britain's decision to return to the Gold Standard at pre-World War I parities (US$4.86:£1).^ This led to the stock market crash.
  • Great Depression and Current Recession Compared · Believe All Things 12 January 2010 1:55 UTC www.believeallthings.com [Source type: Original source]

^ By 1928 and 1929 the Federal Reserve was worried about the high level of the stock market.
  • Sliding into the Great Depression 3 February 2010 18:47 UTC econ161.berkeley.edu [Source type: Original source]

^ And as Eichengreen and Temin emphasize that means putting the international gold standard and central banks at the center of the story.
  • APM's Marketplace: My Two Cents: What caused the Great Depression? 3 February 2010 18:47 UTC www.publicradio.org [Source type: FILTERED WITH BAYES]

.Recessions and business cycles are thought to be a normal part of living in a world of inexact balances between supply and demand.^ Recession cycles are thought to be a normal part of living in a world of inexact balances between supply and demand.

^ Main article: Causes of the Great Depression Business cycles are thought to be a normal part of living in a world of inexact balances between supply and demand.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Hoover thought the depression was part of the business cycle.
  • Hoover and The Great Depression | Socyberty 3 February 2010 18:47 UTC socyberty.com [Source type: General]

.What turns a normal recession or 'ordinary' business cycle into an actual depression is a subject of debate and concern.^ Actually, Hoover and FDR turned what would have been a regular recession into a depression.
  • Hoover and The Great Depression | Socyberty 3 February 2010 18:47 UTC socyberty.com [Source type: General]

^ Business Cycles and the Great Depression Depressions (or recessions) occur...
  • Great Depression: Free Encyclopedia Articles at Questia.com Online Library 27 January 2010 23:58 UTC www.questia.com [Source type: Academic]

^ What turns a usually mild and short recession or "ordinary" business cycle into a great depression is a subject of debate and concern.

.Scholars have not agreed on the exact causes and their relative importance.^ Scholars have not agreed on the exact causes and their relative importance.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.The search for causes is closely connected to the question of how to avoid a future depression, and so the political and policy viewpoints of scholars are mixed into the analysis of historic events eight decades ago.^ How do they cause a depression?
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

^ The search for causes is closely connected to the question of how to avoid a future depression, and so the political and policy viewpoints of scholars are mixed into the analysis of historic events eight decades ago.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ How to Put the “Great” into a Depression .
  • How to Put the "Great" into a Depression 3 February 2010 18:47 UTC dailyreckoning.com [Source type: News]

.The even larger question is whether it was largely a failure on the part of free markets or largely a failure on the part of government efforts to regulate interest rates, curtail widespread bank failures, and control the money supply.^ Bank failures and deposit losses are responsible for the contracting money supply.
  • Timeline of the Great Depression 27 January 2010 23:58 UTC www.huppi.com [Source type: Original source]

^ Friedman and Schwartz emphasized the effects of bank failures on the money supply.
  • FRB: Speech, Bernanke--Money, Gold, and the Great Depression --March 2, 2004 3 February 2010 18:47 UTC www.federalreserve.gov [Source type: FILTERED WITH BAYES]

^ The shrinkage of the money supply was primarily a by-product of bank failures.
  • Policy Lessons from the Great Depression | Economic Policy | Bob McTeer | NCPA 12 January 2010 1:55 UTC taxesandbudget-blog.ncpa.org [Source type: General]

.Those who believe in a large role for the state in the economy believe it was mostly a failure of the free markets and those who believe in free markets believe it was mostly a failure of government that compounded the problem.^ Those who believe in a large role for the state in the economy believe it was mostly a failure of the free markets and those who believe in free markets believe it was mostly a failure of government that compounded the problem.

^ There are those who believe that the Hon.
  • Depression Humor 12 January 2010 1:55 UTC www.compedit.com [Source type: FILTERED WITH BAYES]

^ Those who believe in a large role for governments in the economy believe it was mostly a failure of the free markets and those who believe in free markets believe it was mostly a failure of government that exacerbated the problem.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.Current theories may be broadly classified into three main points of view.^ Current theories may be broadly classified into three main points of view.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Aggregate demand can be broken down into three main components: personal consumption (C), private investment (I), and government expenditures (G).
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]
  • ‘Great Depression’ Lessons from ‘It’s a Wonderful Life’ 12 January 2010 1:55 UTC www.infowars.com [Source type: General]

^ Trends in the Literature The older literature concerning the Great Depression in the United States may be broadly classified into three categories.
  • The Great Depression as Historical Problem | Michael Bernstein | OAH Magazine of History 27 January 2010 23:58 UTC www.oah.org [Source type: FILTERED WITH BAYES]

.First, there are demand-driven theories, most importantly Keynesian economics, but also including those who point to the breakdown of international trade, and Institutional economists who point to underconsumption and over-investment (causing an economic bubble), malfeasance by bankers and industrialists, or incompetence by government officials.^ There are those who believe that the Hon.
  • Depression Humor 12 January 2010 1:55 UTC www.compedit.com [Source type: FILTERED WITH BAYES]

^ Second, there are structural theories, most importantly Keynesian , but also including those of institutional economics, that point to underconsumption and overinvestment (economic bubble), malfeasance by bankers and industrialists, or incompetence by government officials.

^ His economic theory became known as Keynesian Economics.

.The consensus viewpoint is that there was a large-scale loss of confidence that led to a sudden reduction in consumption and investment spending.^ The only consensus viewpoint is that there was a large-scale lack of confidence.

^ (In Europe, large-scale re-armament from 1934-35 onwards played a key role in ending the depression there, too).
  • The Great Depression - Fun Facts, Answers, Factoids, Info, Information 27 January 2010 23:58 UTC www.funtrivia.com [Source type: FILTERED WITH BAYES]

^ The resultant sharp declines in consumer demand and capital investment led to greatly reduced levels of spending, production, and gross national product (GNP).
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

.Once panic and deflation set in, many people believed they could make more money by keeping clear of the markets as prices dropped lower and a given amount of money bought ever more goods, exacerbating the drop in demand.^ They are killed by deflation in many ways.
  • The Big Picture » Blog Archive » Not-So-Great Depression vs. Great Recession 12 January 2010 1:55 UTC www.ritholtz.com [Source type: General]

^ So in his view deflation would be too little money chasing too many goods.
  • Econbrowser: Economics of the Great Depression 12 January 2010 1:55 UTC www.econbrowser.com [Source type: General]

^ It was the uniform fall in the money prices of labour and goods – deflation – that was the villain.
  • Chapter 6. The Great Depression and the battle for inflation 3 February 2010 18:47 UTC epress.anu.edu.au [Source type: Original source]

.Second, there are the monetarists, who believe that the Great Depression started as an ordinary recession, but that significant policy mistakes by monetary authorities (especially the Federal Reserve), caused a shrinking of the money supply which greatly exacerbated the economic situation, causing a recession to descend into the Great Depression.^ "This is THE best economics book on the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ The Great Depression and the Federal role in the economy .
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

^ Further reading : Monetary Policy in the Great Depression .
  • "Great Myths of the great Depression of 1929 - Great podcastsand essays" 27 January 2010 23:58 UTC workforall.net [Source type: FILTERED WITH BAYES]

.Related to this explanation are those who point to debt deflation causing those who borrow to owe ever more in real terms.^ Also, a deflation magnifies the real burden of debts.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

^ But it was just one in a series of losses during a time of extreme market volatility that exposed those who had bought stocks “on margin” with borrowed money.
  • Great Depression (1930's) News - The New York Times 27 January 2010 23:58 UTC topics.nytimes.com [Source type: News]

^ Krugman, however, concluded that the real lesson to be learned from Friedman’s explanation is that government institutions should be more active, not less.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]

.Lastly, there are various heterodox theories that downplay or reject the explanations of the Keynesians and monetarists.^ Is there a variable that the federal government controls that can be used -- Keynesian style -- to reliably manipulate the economy?
  • Marginal Revolution: Understanding Fiscal Policy During the Great Depression 3 February 2010 18:47 UTC www.marginalrevolution.com [Source type: General]

^ It is true that today we have Keynesian and Monetarist theories to manage the crisis.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ He rejected the monetarist and coindental theories, and interesting he also rejected the classic Marxist interpretation of the 'falling rate of profit' hypothesis as the trigger for the Great Depression.
  • Theories on the Great Depression 27 January 2010 23:58 UTC www.southerndomains.com [Source type: FILTERED WITH BAYES]

.For example, some new classical macroeconomists have argued that various labor market policies imposed at the start caused the length and severity of the Great Depression.^ But the Fed was the cause of the great depression.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ The Great Depression accomplished several goals.
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

^ It alone was not the cause of the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

.The Austrian school of economics focuses on the macroeconomic effects of money supply, and how central banking decisions can lead to over-investment (economic bubble).^ Friedman and Schwartz emphasized the effects of bank failures on the money supply.
  • FRB: Speech, Bernanke--Money, Gold, and the Great Depression --March 2, 2004 3 February 2010 18:47 UTC www.federalreserve.gov [Source type: FILTERED WITH BAYES]

^ The effect on the money supply was equally dramatic.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]

^ The easy-money effects thus wear off and the monetary authorities, fearing price inflation, slow the growth of or even contract the money supply.
  • Great Myths of the Great Depression | The Freeman | Ideas On Liberty 3 February 2010 18:47 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

.The Marxist critique of political economy emphasizes the tendency of capitalism to create unbalanced accumulations of wealth, leading to overaccumulations of capital and a repeating cycle of devaluations through economic crises.^ Third, there is the Marxist critique of political economy .

^ Third, there is the Marxist critique of political economy.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ This imbalance of wealth created an unstable economy.
  • The Main Causes of the Great Depression 27 January 2010 23:58 UTC www.gusmorino.com [Source type: FILTERED WITH BAYES]
  • Great Depression. George Bush vs Einstein on economic policy 27 January 2010 23:58 UTC www.awitness.org [Source type: Original source]

Demand-driven

Keynesian

.British economist John Maynard Keynes argued in General Theory of Employment Interest and Money that lower aggregate expenditures in the economy contributed to a massive decline in income and to employment that was well below the average.^ Lord John Maynard Keynes (1883-1946), renowned British economist ) .
  • EXCESSIVE  DEBT  and  MONEY 27 January 2010 23:58 UTC one-simple-idea.com [Source type: Original source]

^ Among some well-known explanations: John Maynard Keynes blamed a collapse in business confidence and private investment in The General Theory of Interest, Money, and Employment.
  • APM's Marketplace: My Two Cents: What caused the Great Depression? 3 February 2010 18:47 UTC www.publicradio.org [Source type: FILTERED WITH BAYES]

^ Keynesian economics got its start with the publication of John Maynard Keynes’s General Theory of Employment, Interest, and Money in 1936.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]

.In such a situation, the economy reached equilibrium at low levels of economic activity and high unemployment.^ In this situation, the economy might have reached a perfect balance, at a cost of high unemployment.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Unemployment was low and wages and dividend payments reached new highs.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

^ Unemployment was still at a high level.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

.Keynes basic idea was simple: to keep people fully employed, governments have to run deficits when the economy is slowing, as the private sector would not invest enough to keep production at the normal level and bring the economy out of recession.^ That's enough to bring down the whole economy.

^ His basic idea was simple: to keep people fully employed, governments have to run deficits when the economy is slowing because the private sector will not invest enough to increase production and reverse the recession.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The wisdom gained in the years since the 1930s probably gives our policymakers enough insight to make decisions that will keep the economy out of such a major depression.
  • Great Depression: The Concise Encyclopedia of Economics | Library of Economics and Liberty 3 February 2010 18:47 UTC www.econlib.org [Source type: FILTERED WITH BAYES]

.Keynesian economists called on governments during times of economic crisis to pick up the slack by increasing government spending and/or cutting taxes.^ You call an increase of 5% in food stamp usage an economic crisis?
  • Open House: Have Your Say: The Great Depression 6 February 2010 13:46 UTC blogs.independent.co.uk [Source type: General]

^ What caused the trends in government spending during this time?
  • EconEdLink | WHERE DID ALL THE MONEY GO? The Great Depression Mystery 27 January 2010 23:58 UTC www.econedlink.org [Source type: FILTERED WITH BAYES]
  • EconEdLink | WHERE DID ALL THE MONEY GO? The Great Depression Mystery 12 January 2010 1:55 UTC www.econedlink.org [Source type: FILTERED WITH BAYES]

^ EVERY tax cut is government spending.
  • Think Progress » McCain Claims FDR ‘Exacerbated The Great Depression,’ Calls For Counterproductive Balanced Budget Provisions 3 February 2010 18:47 UTC thinkprogress.org [Source type: Original source]

.As the Depression wore on, Roosevelt tried public works, farm subsidies, and other devices to restart the economy, but never completely gave up trying to balance the budget.^ As the Depression wore on, Roosevelt tried public works, farm subsidies , and other devices to restart the economy, but never completely gave up trying to balance the budget.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ As the Depression wore on, Roosevelt tried public works, farm subsidies, and other devices to restart the economy, but never completely gave up trying to balance the budget.

^ In March 1933, Franklin D. Roosevelt was inaugurated President and initiated a series of aggressive measures, collectively known as the New Deal, in an attempt to revive the economy from the Depression.
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

According to the Keynesians, this improved the economy, but Roosevelt never spent enough to bring the economy out of recession until the start of World War II.[15]

Breakdown of international trade

.Many economists have argued that the sharp decline in international trade after 1930 helped to worsen the depression, especially for countries significantly dependent on foreign trade.^ Many economists at the time argued that the sharp decline in international trade after 1930 helped to worsen the depression, especially for countries dependent on foreign trade.
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ Many economists have argued that the sharp decline in international trade after 1930 helped to worsen the depression, especially for countries significantly dependent on foreign trade.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Pessimists worry that the global economy is headed into a round of “debt deflation” like the one many economists believe caused the Great Depression.
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]

.Most historians and economists partly blame the American Smoot-Hawley Tariff Act (enacted June 17, 1930) for worsening the depression by seriously reducing international trade and causing retaliatory tariffs in other countries.^ Smoot-Hawley in 1930.
  • " + soundfiledesc + " 3 February 2010 18:47 UTC www.econtalk.org [Source type: Original source]

^ Most historians and economists assign the American Smoot-Hawley Tariff Act of 1930 part of the blame for worsening the depression by seriously reducing international trade and causing retaliatory regulations in other countries.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The first reaction of the U.S. was to raise tariff via the Smoot-Hawley Tariff Act , passed into law June 17, 1930.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

.While foreign trade was a small part of overall economic activity in the United States and was concentrated in a few businesses like farming, it was a much larger factor in many other countries.^ Foreign trade was a small part of overall economic activity in the United States and was concentrated in a few businesses like farming; it was a much larger factor in many other countries.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Tax disturbances and real economic activity in the postwar United States.
  • Can Great Depression Theories Explain the Great Recession? - Munich RePEc Personal Archive 3 February 2010 18:47 UTC mpra.ub.uni-muenchen.de [Source type: Academic]

^ What does the United States owe to foreigners?
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

[16] The average ad valorem rate of duties on dutiable imports for 1921–1925 was 25.9% but under the new tariff it jumped to 50% in 1931–1935.
.In dollar terms, American exports declined from about $5.2 billion in 1929 to $1.7 billion in 1933; but prices also fell, so the physical volume of exports only fell by half.^ American exports fell from $5.5 billion in 1929 to $1.7 billion in 1932.
  • The Great Depression | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

^ The average rate of price decline between 1929 and 1933 was 6.4%.
  • Google Answers: Successful companies and industries during the Great Depression 3 February 2010 18:47 UTC answers.google.com [Source type: FILTERED WITH BAYES]

^ In dollar terms, American exports declined from about $5.2 billion in 1929 to $1.7 billion in 1933; but prices also fell, so the physical volume of exports only fell in half.
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.Hardest hit were farm commodities such as wheat, cotton, tobacco, and lumber.^ Hardest hit were farm commodities such as wheat, cotton, tobacco, and lumber.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The resulting depression hit hardest in farm country, where commodity shipments depended on railroads and where the bulk of America's population still lived.

^ Under the terms of the law, the Farm Board established great national cooperatives such as the National Livestock Marketing Association and the American Cotton Cooperative Association.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

.According to this theory, the collapse of farm exports caused many American farmers to default on their loans, leading to the bank runs on small rural banks that characterized the early years of the Great Depression.^ According to this theory, the collapse of farm exports caused many American farmers to default on their loans leading to the bank runs on small rural banks that characterized the early years of the Great Depression.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Americans have always been great at many things .

^ The main creditors of American farmers were, of course, the rural banks.
  • The Great Depression | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

Debt deflation

.Irving Fisher argued that the predominant factor leading to the Great Depression was over-indebtedness and deflation.^ In his Econometrica paper, Fisher argued that the process that leads to a Depression is the following: .
  • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]
  • "Bernanke an Expert on the Great Depression??" « naked capitalism 3 February 2010 18:47 UTC www.nakedcapitalism.com [Source type: FILTERED WITH BAYES]

^ Irving Fisher argued that the predominant factor leading to the Great Depression was overindebtedness and deflation .

^ Pessimists worry that the global economy is headed into a round of “debt deflation” like the one many economists believe caused the Great Depression.
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]

.Fisher tied loose credit to over-indebtedness, which fueled speculation and asset bubbles.^ Fisher tied loose credit to over-indebtedness, which fueled speculation and asset bubbles.

^ An article appeared this week in the UK Telegraph by Ambrose Evans-Pritchard which supports the theory that Greenspans loose monetary policy fueled a huge credit bubble, which is pushing the global economy towards a 1930s-style slump.

^ Under Calvin Coolidge, the economy became unstable with leveraged speculation and loose credit.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

[17] .He then outlined 9 factors interacting with one another under conditions of debt and deflation to create the mechanics of boom to bust.^ In the General Theory Keynes rejected the view that the boom-bust cycle was due to over-expansive government monetary policy and that the stubbornness of the Depression was due to government interference with market mechanisms.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]
  • ‘Great Depression’ Lessons from ‘It’s a Wonderful Life’ 12 January 2010 1:55 UTC www.infowars.com [Source type: General]

^ Pessimists worry that the global economy is headed into a round of “debt deflation” like the one many economists believe caused the Great Depression.
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]
  • Great Depression - Articles, Blog Posts, Videos and other Resources - CBS Moneywatch.com 27 January 2010 23:58 UTC moneywatch.bnet.com [Source type: General]

^ In addition, it has continued, by swinging from one extreme to another, to produce not only booms but also recessions, some mild, some sharp.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]

The chain of events proceeded as follows:
.
  1. Debt liquidation and distress selling
  2. Contraction of the money supply as bank loans are paid off
  3. A fall in the level of asset prices
  4. A still greater fall in the net worths of business, precipitating bankruptcies
  5. A fall in profits
  6. A reduction in output, in trade and in employment.
  7. Pessimism and loss of confidence
  8. Hoarding of money
  9. A fall in nominal interest rates and a rise in deflation adjusted interest rates.^ When the money supply is contracting, prices and wages fall— what's known as deflation.
    • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

    ^ Interest rates fall.
    • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

    ^ Debt liquidation leads to distress selling and to .
    • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]
    • "Bernanke an Expert on the Great Depression??" « naked capitalism 3 February 2010 18:47 UTC www.nakedcapitalism.com [Source type: FILTERED WITH BAYES]

    [17]
.During the Crash of 1929 preceding the Great Depression, margin requirements were only 10%.^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ The Great Depression, 1929-1939.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ The answer during the Great Depression was "no."
  • Marginal Revolution: Understanding Fiscal Policy During the Great Depression 3 February 2010 18:47 UTC www.marginalrevolution.com [Source type: General]

[18] .Brokerage firms, in other words, would lend $9 for every $1 an investor had deposited.^ By this method, banks would recover from these market investors the amount they had lent as home loans to others, as well as fat fees, and would in this process be free to expand lending further.
  • Aspects of India's Economy No. 47 3 February 2010 18:47 UTC www.rupe-india.org [Source type: FILTERED WITH BAYES]

^ In other words, there would be no recession.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

^ In other words for every $1USD of receipts(revenues) the US TREASURY is spending $5.78USD. .
  • Not the Great Depression 2.0 « Donald Marron 3 February 2010 18:47 UTC dmarron.com [Source type: FILTERED WITH BAYES]

.When the market fell, brokers called in these loans, which could not be paid back.^ However, October 3 brought the report that broker's loans had risen sharply despite the stock market decline.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

^ But news of the great increases in broker's loans each week brought periodic sharp drops to the market and general apprehension.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

^ When the Fed sets interest rates below what the market would determine, it creates excess demand for loans (one could say “in excess” of the market clearing level).
  • Great Depression blogging - Paul Krugman Blog - NYTimes.com 12 January 2010 1:55 UTC krugman.blogs.nytimes.com [Source type: General]

.Banks began to fail as debtors defaulted on debt and depositors attempted to withdraw their deposits en masse, triggering multiple bank runs.^ Banks which had financed a lot of this debt began to fail as debtors defaulted on debt and bank depositors became worried about their deposits and began massive withdrawals .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Banks which had financed this debt began to fail as debtors defaulted on debt and depositors attempted to withdraw their deposits en masse, triggering multiple bank runs.
  • U.S 1929 Great Depression vs. 2008 financial, housing, credit crisis 27 January 2010 23:58 UTC investment-blog.net [Source type: FILTERED WITH BAYES]

^ When the banks reopened, deposits exceeded withdrawals.

.Government guarantees and Federal Reserve banking regulations to prevent such panics were ineffective or not used.^ Government guarantees and Federal Reserve banking regulations to prevent these types of panics were ineffective or not used.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The Federal Reserve did little to try to stem the banking panics.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ He firmly believed that the Federal Reserve had to prevent banking panics and sustain economic growth.
  • Great Depression, by Robert J. Samuelson: The Concise Encyclopedia of Economics | Library of Economics and Liberty 6 February 2010 13:46 UTC www.econlib.org [Source type: Original source]

.Bank failures led to the loss of billions of dollars in assets.^ Bank failures led to the evaporation of billions of dollars in assets.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ With approximately 8305 FDIC "insured" banks nationwide holding $14 trillion in assets the FDIC fund will not be able to handle a massive bank failure run.
  • Great Depression // Current 27 January 2010 23:58 UTC current.com [Source type: General]

^ Central banks and private investors converted a substantial quantity of dollar assets to gold in September and October of 1931.
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

[19] .Outstanding debts became heavier, because prices and incomes fell by 20–50% but the debts remained at the same dollar amount.^ Bank failures led to the loss of billions of dollars in assets.Outstanding debts became heavier, because prices and incomes fell by 20–50% but the debts remained at the same dollar amount.
  • U.S 1929 Great Depression vs. 2008 financial, housing, credit crisis 27 January 2010 23:58 UTC investment-blog.net [Source type: FILTERED WITH BAYES]

^ Furthermore, the debt became heavier, because prices and incomes fell 20–50%, but the debts remained at the same dollar amount.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The bulk of the U.S. economy’s income went to the to top 1 percent of the nation’s families, who earned the same amount as the combined income of the bottom 40 percent.
  • Another Great Depression? | The LA Progressive 3 February 2010 18:47 UTC www.laprogressive.com [Source type: General]

.After the panic of 1929, and during the first 10 months of 1930, 744 US banks failed.^ After the panic of 1929, and during the first 10 months of 1930, 744 banks failed.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Bank failures – from 1930 to 1933 – 10,000 banks failed.
  • Great Depression and Current Recession Compared · Believe All Things 12 January 2010 1:55 UTC www.believeallthings.com [Source type: Original source]

^ Herbert Hoover, responding to a delegation requesting a public works program to help speed the recovery, June 1930 "Gasoline consumption first 5 months of 1930 up 12.6% over 1929; May consumption up 5.3% over 1929."

.(In all, 9,000 banks failed during the 1930s).^ About a third of all of the banks failed.
  • 1929 Market Crash 27 January 2010 23:58 UTC windowtowallstreet.com [Source type: FILTERED WITH BAYES]
  • Bernanke says crisis ‘no comparison’ to Great Depression 6 February 2010 13:46 UTC www.infowars.com [Source type: General]

^ Throughout the 1930s over 9,000 banks failed.

^ In all, 9,000 banks failed during the decade of the 30s.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.By April 1933, around $7 billion in deposits had been frozen in failed banks or those left unlicensed after the March Bank Holiday.^ Banks which had financed this debt began to fail as debtors defaulted on debt and depositors attempted to withdraw their deposits en masse, triggering multiple bank runs.
  • U.S 1929 Great Depression vs. 2008 financial, housing, credit crisis 27 January 2010 23:58 UTC investment-blog.net [Source type: FILTERED WITH BAYES]

^ U.S. banks fail; $2.5 billion hit for FDIC fund Slim Shavings .
  • Great Depression 2 - Loan Modification Forum - LoanSafe.org 27 January 2010 23:58 UTC www.loansafe.org [Source type: FILTERED WITH BAYES]

^ Incidentally, banks had been in dire straights since around December 1930, when a momentous loss of confidence accompanied the collapse of the Bank of United States and its $200m of deposits.

[20]
.Bank failures snowballed as desperate bankers called in loans which the borrowers did not have time or money to repay.^ Bank failures snowballed as desperate bankers called in loans which the borrowers did not have time or money to repay.
  • U.S 1929 Great Depression vs. 2008 financial, housing, credit crisis 27 January 2010 23:58 UTC investment-blog.net [Source type: FILTERED WITH BAYES]

^ WWI borrowing was instead destructive, not much money to repay the loans.
  • " + soundfiledesc + " 3 February 2010 18:47 UTC www.econtalk.org [Source type: Original source]

^ Bank failures snowballed as desperate bankers tried calling in loans which the borrowers did not have time or money to repay.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.With future profits looking poor, capital investment and construction slowed or completely ceased.^ With future profits looking poor, capital investment and construction slowed or completely ceased.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The real issue was the investment pool, the money looking for a return on capital.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

^ Both occurrences fell together with a slackening of the rate of investment due to declining profits in relation to the employed capital.
  • The ‘credit crunch’: another Great Depression? | spiked 27 January 2010 23:58 UTC www.spiked-online.com [Source type: FILTERED WITH BAYES]

.In the face of bad loans and worsening future prospects, the surviving banks became even more conservative in their lending.^ In the face of bad loans and worsening future prospects, the surviving banks became even more conservative in their lending.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ A bad banking structure; modern institutional firewalls (like deposit insurance) did not exist to protect the banking system from a "chain reaction" when "good" loans went bad.
  • "Judicial activism led to the Great Depression" 27 January 2010 23:58 UTC ttokarnak.home.att.net [Source type: Original source]

^ Surviving banks, rather than expanding their deposits and loans to replace those of the banks lost to panics, retrenched sharply.
  • FRB: Speech, Bernanke--Money, Gold, and the Great Depression --March 2, 2004 3 February 2010 18:47 UTC www.federalreserve.gov [Source type: FILTERED WITH BAYES]

[19] .Banks built up their capital reserves and made fewer loans, which intensified deflationary pressures.^ Banks built up their capital reserves, which intensified deflationary pressures.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ By 1928 American banks were already quite wary of the situation, but their predictable response, cutting back on loans to European governments, merely made the situation worse.
  • The Great Depression as Historical Problem | Michael Bernstein | OAH Magazine of History 27 January 2010 23:58 UTC www.oah.org [Source type: FILTERED WITH BAYES]

^ As a consequence of the economic boom of the "roaring twenties" interest rates were steadily increasing, and bank capital was greatly weakened by the proliferation of non-performing loans.
  • REVISIONIST VIEW OF THE GREAT DEPRESSION 27 January 2010 23:58 UTC www.gold-eagle.com [Source type: Original source]

.A vicious cycle developed and the downward spiral accelerated.^ The vicious cycle developed and the downward spiral accelerated.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The Depression exposed those weaknesses, as it did the inability of the nation's political and financial institutions to cope with the vicious downward economic cycle that had set in by 1930.

^ Once launched the depression had a sort of momentum of its own that helped to create a vicious downward spiral.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

.The liquidation of debt could not keep up with the fall of prices which it caused.^ The liquidation of debt could not keep up with the fall of prices which it caused.

^ Falling prices are themselves an effect, not a cause.
  • REVISIONIST VIEW OF THE GREAT DEPRESSION 6 February 2010 13:46 UTC www.gold-eagle.com [Source type: Original source]

^ We have gotten out of debt and have a home-based business to fall back on if my husband should lose his job with UPS, and are going on with life as normally as possible.
  • The Great Depression II: Are We Being Played? (Dec. 3, 2008) 6 February 2010 13:46 UTC educate-yourself.org [Source type: General]

.The mass effect of the stampede to liquidate increased the value of each dollar owed, relative to the value of declining asset holdings.^ The mass effect of the stampede to liquidate increased the value of each dollar owed, relative to the value of declining asset holdings.

^ But since he owed B 2 dollars, his net asset is 1 dollar.
  • The Great Depression 3 February 2010 18:47 UTC www.kenneyjacob.com [Source type: Original source]

^ Besides ruining many thousands of individual investors, this precipitous decline in the value of assets greatly strained banks and other financial institutions, particularly those holding stocks in their portfolios.

.The very effort of individuals to lessen their burden of debt effectively increased it.^ The very effort of individuals to lessen their burden of debt effectively increased it.

^ Deficit spending would allow for an increase in government spending without an offsetting increase in the tax burden on private individuals and businesses.
  • The Great Depression According to Milton Friedman | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: Original source]

^ Didn't Roosevelt increase taxes & isn't that--as an added burden on productive effort--a negative aspect of the New Deal?
  • Econbrowser: The New Deal and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

.Paradoxically, the more the debtors paid, the more they owed.^ Paradoxically, the more the debtors paid, the more they owed.

^ The Allies could pay war debts owed to the United States (more than $11 billion) only if they received reparations payments from Germany.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

[17] .This self-aggravating process turned a 1930 recession into a 1933 great depression.^ This kind of self-aggravating process may have turned a 1930 recession into a 1933 great depression.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ This self-aggravating process turned a 1930 recession into a 1933 great depression.

^ Her skills, which she learned from her mother during the Great Depression, are coming in handy given cutbacks, layoffs and the nation’s overall recession.
  • 'Great Depression Cooking' Whips Up Loyal Following 12 January 2010 1:55 UTC news.tubefilter.tv [Source type: FILTERED WITH BAYES]

.Macroeconomists including Ben Bernanke, the current chairman of the U.S. Federal Reserve Bank, have revived the debt-deflation view of the Great Depression originated by Fisher.^ The Great Depression and the Federal role in the economy .
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

^ Fed Chairman Ben Bernanke brilliantly covers the economics of the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Macroeconomists including Ben Bernanke, the current chairman of the U.S. Federal Reserve Bank, have revived the debt-deflation view of the Great Depression originated by Fisher.

[21][22]

Monetarist

Crowd at New York's American Union Bank during a bank run early in the Great Depression.
.Monetarists, including Milton Friedman and current Federal Reserve System chairman Ben Bernanke, argue that the Great Depression was mainly caused by monetary contraction, the consequence of poor policymaking by the American Federal Reserve System and continued crisis in the banking system.^ The Great Depression and the Federal role in the economy .
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

^ Fed Chairman Ben Bernanke brilliantly covers the economics of the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Labels: economic crisis , economics , Great Depression .

[23][24] .In this view, the Federal Reserve, by not acting, allowed the money supply as measured by the M2 to shrink by one-third from 1929 to 1933, thereby transforming a normal recession into the Great Depression.^ The fundamental problem, he said, was that the Federal Reserve foolishly allowed the money supply to shrink by a third between 1929 and 1933.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

^ The Great Depression and the Federal role in the economy .
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

^ The Federal Reserve allowed the money supply to shrink by one-third from 1929 to 1933.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

.Friedman argued that the downward turn in the economy, starting with the stock market crash, would have been just another recession.^ This led to the stock market crash.
  • Great Depression and Current Recession Compared · Believe All Things 12 January 2010 1:55 UTC www.believeallthings.com [Source type: Original source]

^ The stock market boom and crash .
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ This caused a recession and the stock market to fall.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

[25] .However, the Federal Reserve allowed some large public bank failures – particularly that of the New York Bank of the United States – which produced panic and widespread runs on local banks, and the Federal Reserve sat idly by while banks collapsed.^ The head of the new bank was to be J. Herbert Case, chairman of the New York Federal Reserve.
  • A Fiasco That Fed the Great Depression - Barrons.com 3 February 2010 18:47 UTC online.barrons.com [Source type: News]

^ This led to a large federal deficit, however.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ The Federal Reserve did little to try to stem the banking panics.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.He claimed that, if the Fed had provided emergency lending to these key banks, or simply bought government bonds on the open market to provide liquidity and increase the quantity of money after the key banks fell, all the rest of the banks would not have fallen after the large ones did, and the money supply would not have fallen as far and as fast as it did.^ Where did these people put their money?
  • Great Depression and Current Recession Compared · Believe All Things 12 January 2010 1:55 UTC www.believeallthings.com [Source type: Original source]

^ He claimed that, if the Fed had provided emergency lending to these key banks, or simply bought government bonds on the open market to provide liquidity and increase the quantity of money after the key banks fell, all the rest of the banks would not have fallen after the large ones did, and the money supply would not have fallen as far and as fast as it did.

^ The increase in the money supply would have halted the deflation that was the source of the problem.
  • Hoover Institution - Policy Review - The Fed's "Depression" and the Birth of the New Deal 27 January 2010 23:58 UTC www.hoover.org [Source type: Original source]

[26] .With significantly less money to go around, businessmen could not get new loans and could not even get their old loans renewed, forcing many to stop investing.^ With significantly less money to go around, businessmen could not get new loans and could not even get their old loans renewed, forcing many to stop investing.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ With significantly less money to go around, businessmen could not get new loans and could not even get their old loans renewed, forcing many to stop investing .

^ Not enough money to go around is correct.
  • Business Devours its Young: Lessons from the Great Depression: Part V: Destroying the Working Class. » Dr. Housing Bubble Blog 27 January 2010 23:58 UTC www.doctorhousingbubble.com [Source type: News]

.This interpretation blames the Federal Reserve for inaction, especially the New York branch.^ This interpretation blames the Federal Reserve for inaction, especially the New York branch.

^ New York banks were able to increase their reserves.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

^ This interpretation blames the Federal Reserve for inaction, especially the New York branch, which was owned and controlled by Wall Street bankers.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[27]
.One reason why the Federal Reserve did not act to limit the decline of the money supply was regulation.^ The Federal Reserve allowed the money supply to shrink by one-third from 1929 to 1933.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Why then did the Federal Reserve raise interest rates in 1928?
  • FRB: Speech, Bernanke--Money, Gold, and the Great Depression --March 2, 2004 3 February 2010 18:47 UTC www.federalreserve.gov [Source type: FILTERED WITH BAYES]

^ By not acting, the Federal Reserve allowed the money supply to shrink by one-third from 1930 to 1931.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.At that time the amount of credit the Federal Reserve could issue was limited by laws which required partial gold backing of that credit.^ At that time the amount of credit the Federal Reserve could issue was limited by laws which required partial gold backing of that credit.

^ By the late 1920s the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.

^ By the late 1920's the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.By the late 1920s the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.^ At that time the amount of credit the Federal Reserve could issue was limited by laws which required partial gold backing of that credit.

^ By the late 1920s the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.

^ By the late 1920's the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.This credit was in the form of Federal Reserve demand notes.^ Federal Reserve Note is essentially unsound.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ This credit was in the form of Federal Reserve demand notes.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ In defiance of this and all other warnings, the proponents of the Federal Reserve Act created [vested this power in] the 12 private credit corporations, and gave them an absolute monopoly of the currency of the United States not of Federal Reserve Notes alone, but of all the currency...
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.Since a "promise of gold" is not as good as "gold in the hand", during the bank panics a portion of those demand notes were redeemed for Federal Reserve gold.^ Why did the Federal Reserve continue a policy of inaction during the banking panics?
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ The Federal Reserve did little to try to stem the banking panics.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Since a "promise of gold" is not as good as "gold in the hand", during the bank panics a portion of those demand notes were redeemed for Federal Reserve gold.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.Since the Federal Reserve had hit its limit on allowable credit, any reduction in gold in its vaults had to be accompanied by a greater reduction in credit.^ By the late 1920s the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.

^ By the late 1920's the Federal Reserve had almost hit the limit of allowable credit that could be backed by the gold in its possession.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Since the Federal Reserve had hit its limit on allowable credit, any reduction in gold in its vaults had to be accompanied by a greater reduction in credit.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.On April 5, 1933 President Roosevelt signed Executive Order 6102 making the private ownership of gold certificates, coins and bullion illegal, reducing the pressure on Federal Reserve gold.^ In April 1933, Roosevelt issued Executive Order (EO) 6102 that stated: .

^ Several years into the Great Depression the private ownership of gold was declared illegal and reduced the pressure on Federal Reserve gold.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ On April 5, 1933 President Roosevelt signed Executive Order 6102 making the private ownership of gold certificates, coins and bullion illegal , reducing the pressure on Federal Reserve gold.

[28]

New classical approach

.Recent work from a neoclassical perspective focuses on the decline in productivity that caused the initial decline in output and a prolonged recovery due to policies that affected the labor market.^ Recent work from a neoclassical perspective focuses on the decline in productivity that caused the initial decline in output and a prolonged recovery due to policies that affected the labor market.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Causes of the decline - - Stock market crash .
  • Great Depression (economy) :: Stock market crash -- Britannica Online Encyclopedia 27 January 2010 23:58 UTC www.britannica.com [Source type: Reference]
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ This work, collected by Kehoe and Prescott, decomposes the economic decline into a decline in the labor force, capital stock, and the productivity with which these inputs are used.

.This work, collected by Kehoe and Prescott,[29] decomposes the economic decline into a decline in the labor force, capital stock, and the productivity with which these inputs are used.^ This work, collected by Kehoe and Prescott, decomposes the economic decline into a decline in the labor force, capital stock, and the productivity with which these inputs are used.

^ This work, collected by Kehoe and Prescott [15] , decomposes the economic decline into a decline in the labor force, capital stock, and the productivity with which these inputs are used.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Consequently, labor productivity declined and wages were forced upward.
  • The Great Depression | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

.This study suggests that theories of the Great Depression have to explain an initial severe decline but rapid recovery in productivity, relatively little change in the capital stock, and a prolonged depression in the labor force.^ The Great Depression accomplished several goals.
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

^ Study points to benefits from Great Depression .
  • Recessions and Depressions: News & Videos about Recessions and Depressions - CNN.com 27 January 2010 23:58 UTC topics.cnn.com [Source type: News]

^ However, this does not explain the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.This analysis rejects theories that focus on the role of savings and posit a decline in the capital stock.^ This analysis rejects theories that focus on the role of savings and posit a decline in the capital stock.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ This work, collected by Kehoe and Prescott, decomposes the economic decline into a decline in the labor force, capital stock, and the productivity with which these inputs are used.

^ In the belief that declining rates indicate growing supplies of capital savings, they embark upon new production projects.
  • The Great Depression | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

Austrian School

.Another explanation comes from the Austrian School of economics.^ Austrian School explanations .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Another explanation comes from the Austrian School of economics.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Another school of thought concluded that the economic calamity of the 1930s was the direct result of poorly formulated and politically distorted actions undertaken by the government.
  • The Great Depression as Historical Problem | Michael Bernstein | OAH Magazine of History 27 January 2010 23:58 UTC www.oah.org [Source type: FILTERED WITH BAYES]

.Theorists of the "Austrian School" who wrote about the Depression include Austrian economist Friedrich Hayek and American economist Murray Rothbard, who wrote America's Great Depression (1963).^ America's Great Depression written by Murray Rothbard .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ An early version of the Austrian case is Murray Rothbard’s America’s Great Depression , published in 1963.
  • The ‘credit crunch’: another Great Depression? | spiked 27 January 2010 23:58 UTC www.spiked-online.com [Source type: FILTERED WITH BAYES]

^ Murray Rothbard's book America's Great Depression, free here: .
  • Welcome to the Second Great Depression 27 January 2010 23:58 UTC www.fool.com [Source type: General]

.In their view and like the monetarists, the Federal Reserve, which was created in 1913, shoulders much of the blame; but in opposition to the monetarists, they argue that the key cause of the Depression was the expansion of the money supply in the 1920s that led to an unsustainable credit-driven boom.^ The money supply data that they used were - .
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ How do they cause a depression?
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

^ Also, money supply as a cause is overrated.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

.In the Austrian view it was this inflation of the money supply that led to an unsustainable boom in both asset prices (stocks and bonds) and capital goods.^ In the Austrian view, it was this inflation of the money supply that led to an unsustainable boom in both asset prices (stocks and bonds) and capital goods.
  • Op-Ed: The Second Great Depression? - Minyanville.com 3 February 2010 18:47 UTC www.minyanville.com [Source type: Original source]

^ Prices are money values for finished goods and services, and capital.

^ In the Austrian view it was this inflation of the money supply that led to an unsustainable boom in both asset prices (stocks and bonds) and in capital goods.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.By the time the Fed belatedly tightened in 1928, it was far too late and, in the Austrian view, a depression was inevitable.^ By the time the Fed belatedly tightened in 1928, it was far too late and, in the Austrian view, a depression was inevitable.
  • Great Depression 27 January 2010 23:58 UTC www.tradingstocks.net [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The bust of 1929 led to the Great Depression of the 1930's not as a result of Fed tightening, as Bernanke claims, but due to the misguided economic policies of the Hoover and Roosevelt administrations.
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

^ A number of countries in Latin America fell into depression in late 1928 and early 1929, slightly before the U.S. decline in output.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.According to the Austrians, the artificial interference in the economy was a disaster prior to the Depression, and government efforts to prop up the economy after the crash of 1929 only made things worse.^ According to the Austrians, the artificial interference in the economy was a disaster prior to the Depression, and government efforts to prop up the economy after the crash of 1929 only made things worse.

^ The bottom line is federal government support is the only thing holding up the economy.

^ The artificial interference in the economy was a disaster prior to the Depression, and government efforts to prop up the economy after the crash of 1929 only made things worse.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.According to Rothbard, government intervention delayed the market's adjustment and made the road to complete recovery more difficult.^ Then after the crash intervention by government prevented the recovery.
  • Econbrowser: Economics of the Great Depression 12 January 2010 1:55 UTC www.econbrowser.com [Source type: General]

^ According to Rothbard, government intervention delayed the market's adjustment and made the road to complete recovery more difficult.

^ According to the Austrians, the artificial interference in the economy was a disaster prior to the Depression, and government efforts to prop up the economy after the crash of 1929 only made things worse.

[30]

Marxist

.Marx saw recession and depression as unavoidable under free-market capitalism as there are no restrictions on accumulations of capital other than the market itself.^ In other words, there would be no recession.
  • What Links the Great Depression and the Great Recession | Capital Gains and Games 3 February 2010 18:47 UTC capitalgainsandgames.com [Source type: Original source]

^ Nor did I say there wouldn't be business failures under free market capitalism.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ There was no recession, but there was frenzied market activity.
  • Great Depression: Myths and Facts 27 January 2010 23:58 UTC cafehayek.com [Source type: Original source]

.In the Marxist view, capitalism tends to create unbalanced accumulations of wealth, leading to over-accumulations of capital which inevitably lead to a crisis.^ This emphasises contradictions within capital itself (which is viewed as a social relation involving the appropriation of surplus value) as giving rise to an inherently unbalanced dynamic of accumulation resulting in an overaccumulation of capital, culminating in periodic crises of devaluation of capital.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ This emphasizes the tendency of capitalism to create unbalanced accumulations of wealth, leading to overaccumulations of capital and a repeating cycle of devaluations through economic crises.

^ Firstly, the booming free-market capitalism and stock-market lunacy of the 1920s encouraged an indiviualistic (some would say selfish) approach to wealth creation that tended towards peaks, troughs, and crises.

.This especially sharp bust is a regular feature of the boom and bust pattern of what Marxists term "chaotic" capitalist development.^ The Depression suggested that the costs of capitalist development--in terms of starvation, privation, and inequality--were far greater than had previously been thought.
  • Climbing Out of the Great Depression 3 February 2010 18:47 UTC econ161.berkeley.edu [Source type: Original source]

^ Let me repeat: Contra Marx, a completely free-market capitalist economy is not bound to be plagued by the business cycle of booms followed by busts.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

.It is a tenet of many Marxists groupings that such crises are inevitable and will be increasingly severe until the contradictions inherent in the mismatch between the mode of production and the development of productive forces reach the final point of failure.^ At least a couple of relevant, contributing factors: 1) if there is a problem arising between the modes of production and the material conditions (a "Larouchian" point, in a way; perhaps our failure to develop quickly enough and our dependence on limited resources are catching up with us?
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ New products such as cars changed the way of life for many Americans.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ A general slowing of profits arises inevitably at some point as the growth of societys productive capacity outstrips demand.
  • Aspects of India's Economy No. 47 3 February 2010 18:47 UTC www.rupe-india.org [Source type: FILTERED WITH BAYES]

At which point, the crisis period encourages intensified class conflict and forces societal change.

Inequality

.
Power farming displaces tenants from the land in the western dry cotton area.
^ Power farming displaces tenants from the land in the western dry cotton area.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Even though in the Midwest, many farmers were forced off the land by the droughts, in other areas of the country, farms were havens where there was food and livelihood.
  • Fighting the Great Depression 3 February 2010 18:47 UTC hubpages.com [Source type: General]

Childress County, Texas, 1938.
.Two economists of the 1920s, Waddill Catchings and William Trufant Foster, popularized a theory that influenced many policy makers, including Herbert Hoover, Henry A. Wallace, Paul Douglas, and Marriner Eccles.^ It is also a bitter commentary on those who are paid to know better, including those economists who pretend to be knowledgeable about the US economy of the 1920s and 1930s.
  • The Great Depression: fact versus myths by Gerard Jackson 12 January 2010 1:55 UTC www.24hgold.com [Source type: FILTERED WITH BAYES]

^ While popular accounts hold that government corrective action did not begin until 1933, after the defeat of President Herbert Hoover by Franklin Delano Roosevelt, that is not the case.
  • On Power: The Independent Institute | U. S. History | Great Depression 27 January 2010 23:58 UTC www.onpower.org [Source type: Academic]

^ Their deflationary policy, including gold sterilization during the 1920s, confirms their resistance to British efforts to get them to inflate.

.It held the economy produced more than it consumed, because the consumers did not have enough income.^ What made matters worse was a big drop in U.S. consumer spending—far more than can be explained by the stock market crash.
  • Great Depression, by Robert J. Samuelson: The Concise Encyclopedia of Economics | Library of Economics and Liberty 6 February 2010 13:46 UTC www.econlib.org [Source type: Original source]

^ It is because the economy was getting higher, that people could buy their houses easier, and spend with more frequency.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Experience has shown time and again that a roller-coaster monetary policy is enough by itself to produce a roller-coaster economy.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

.Thus the unequal distribution of wealth throughout the 1920s caused the Great Depression.^ But the Fed was the cause of the great depression.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ It alone was not the cause of the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

[31][32]
.According to this view, the root cause of the Great Depression was a global over-investment in heavy industry capacity compared to wages and earnings from independent businesses, such as farms.^ But the Fed was the cause of the great depression.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ It alone was not the cause of the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.The solution was the government must pump money into consumers' pockets.^ The new money again pours into business, and they can again bid factors away from the consumer goods industries.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ How can you hint at the possibility of deflation at a time when our government and several others are pumping trillions more currency into economies.
  • Welcome to the Second Great Depression 27 January 2010 23:58 UTC www.fool.com [Source type: General]

^ Anytime the central bank intervenes to pump trillions of dollars into the financial system, a bubble is created that must eventually deflate.

.That is, it must redistribute purchasing power, maintain the industrial base, but re-inflate prices and wages to force as much of the inflationary increase in purchasing power into consumer spending.^ Debt was liquidated and asset prices fell and there wasn't much consumer debt, so all you had to do was to stimulate business men's animal spirits and convince people who were hoarding money to spend it.
  • Weakest employment market since the Great Depression - Credit Writedowns 3 February 2010 18:47 UTC www.creditwritedowns.com [Source type: General]

^ These codes discouraged price competition between firms, set minimum wages in each industry, and sometimes limited production.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ The resulting increase in unemployment is conducive to a dramatic decline in consumer spending which in turn backlashes on the levels of production of goods and services.
  • The Great Depression of the 21st Century - Collapse of the Real Economy 3 February 2010 18:47 UTC www.real-debt-elimination.com [Source type: News]

.The economy was overbuilt, and new factories were not needed.^ This coincided with the recovery in the American economy, which created a better market for exports and a new inflow of much needed capital.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

.Foster and Catchings recommended[33] federal and state governments start large construction projects, a program followed by Hoover and Roosevelt.^ It took Roosevelt to start getting the Federal government into the act in '32 and '33 and things started to improve even though many of his programs were temporary.
  • Dow Jones Industrials Crash Analysis - Great Depression Versus Today - The Economy Article - dow jones, stock market, depression 27 January 2010 23:58 UTC www.bestcashcow.com [Source type: General]

^ While popular accounts hold that government corrective action did not begin until 1933, after the defeat of President Herbert Hoover by Franklin Delano Roosevelt, that is not the case.
  • On Power: The Independent Institute | U. S. History | Great Depression 27 January 2010 23:58 UTC www.onpower.org [Source type: Academic]

^ A large centralized government is unable to fully understand the needs of each individual State, city or town, and that is why there are locally elected governments.
  • Tracking The Second Great Depression 27 January 2010 23:58 UTC www.businessinsider.com [Source type: FILTERED WITH BAYES]

Turning point and recovery

.
The overall course of the Depression in the United States, as reflected in per-capita GDP (average income per person) shown in constant year 2000 dollars, plus some of the key events of the period.
^ His personal income for the year is 30 million dollars.

^ The stock market crash of 1929 touched off a chain of events that plunged the United States into its longest, deepest economic crisis of its history.
  • The Great Depression [ushistory.org] 6 February 2010 13:46 UTC www.ushistory.org [Source type: Academic]

^ And the statistics speak for themselves: the US economy (using GDP as a measure) rose by no less than 63% between 1933 and 1937, while average economic growth hit an extraordinary 14% per year during the period.

[34]
.Various countries around the world started to recover from the Great Depression at different times.^ It was this failure to recover that was the critical difference for the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ BIG DIFFERENCE from today and the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ The timing and severity of the Great Depression varied substantially across countries.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

In most countries of the world recovery from the Great Depression began in 1933.[1] In the United States recovery began in the spring of 1933.[1] However, the U.S. did not return to 1929 GNP for over a decade and still had an unemployment rate of about 15% in 1940, albeit down from the high of 25% in 1933.
.There is no consensus among economists regarding the motive force for the U.S. economic expansion that continued through most of the Roosevelt years (and the 1937 recession that interrupted it).^ There would have been a recession, but there have been lots of recessions over the years.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ Recommended by: Mr X , Cliss , Neon Vincent We sold as the bubble was bursting and there's no way I would buy for the next year or so, most places I can think of.
  • Daily Kos: The worst housing slump since the Great Depression? 3 February 2010 18:47 UTC www.dailykos.com [Source type: General]

^ No one forced people to take out a subprime morgage, it was their own greed that motivated them to do so.
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

.The common view among mainstream economists is that Roosevelt's New Deal policies either caused or accelerated the recovery, although his policies were never aggressive enough to bring the economy completely out of recession.^ A standard analysis of New Deal policies.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ In Wyoming, the New Deal policies were resisted.
  • Wyoming History - Wyoming & The Great Depression 12 January 2010 1:55 UTC www.wwcc.wy.edu [Source type: Original source]

^ In March 1933, Franklin D. Roosevelt was inaugurated President and initiated a series of aggressive measures, collectively known as the New Deal, in an attempt to revive the economy from the Depression.
  • Compensation from before World War I through the Great Depression 12 January 2010 1:55 UTC www.bls.gov [Source type: FILTERED WITH BAYES]

.Some economists have also called attention to the positive effects from expectations of reflation and rising nominal interest rates that Roosevelt's words and actions portended.^ Former Federal Reserve chairman Paul Volcker is one of few economists with both President Obama’s ear and some sense of the long term consequences of Fed interest rate manipulation.
  • Depression II: The Horror 3 February 2010 18:47 UTC dailyreckoning.com [Source type: News]

^ As the boom matures, business costs rise, interest rates readjust upward, and profits are squeezed.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ Exports, auto production, construction fall - brokers loans rise sharply - call rate hits 12% - large grain surpluses remain a problem.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

[35][36] .However, opposition from the new Conservative Coalition caused a rollback of the New Deal policies in early 1937, which caused a setback in the recovery.^ A standard analysis of New Deal policies.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ In Wyoming, the New Deal policies were resisted.
  • Wyoming History - Wyoming & The Great Depression 12 January 2010 1:55 UTC www.wwcc.wy.edu [Source type: Original source]

^ The New Deal was created in the early 1930’s!
  • Think Progress » Rep. Steve Austria: FDR caused the Great Depression. 27 January 2010 23:58 UTC thinkprogress.org [Source type: General]

[37]
.According to Christina Romer, the money supply growth caused by huge international gold inflows was a crucial source of the recovery of the United States economy, and that the economy showed little sign of self-correction.^ International lending and trade - Sources of recovery .
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ International economy - Recovery .
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ However, the great inflow of gold, together with the large increase in the official price for gold-from $20.67 per ounce to $35 per ounce-greatly increased commercial bank reserves, and made possible a huge increase in the conventional money stock.

.The gold inflows were partly due to devaluation of the U.S. dollar and partly due to deterioration of the political situation in Europe.^ In Europe the situation in Greece is rapidly deteriorating.

^ Fearing imminent devaluation of the dollar, many foreign and domestic depositors withdrew their funds from U.S. banks in order to convert them into gold or other assets.
  • FRB: Speech, Bernanke--Money, Gold, and the Great Depression --March 2, 2004 3 February 2010 18:47 UTC www.federalreserve.gov [Source type: FILTERED WITH BAYES]

^ In January 1934, Roosevelt raised the official price of gold to $35 per ounce, thereby devaluing the U.S. dollar by 41%.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[38] .In their book, A Monetary History of the United States, Milton Friedman and Anna J. Schwartz also attributed the recovery to monetary factors, and contended that it was much slowed by poor management of money by the Federal Reserve System.^ He is an expert on the Federal Reserve, monetary policy, and the history of central banking.

^ Example: Role of money supply , Friedman and Schwartz, Monetary History of the United States —even the Federal Reserve Board itself at the time was ignorant of the economic role of money.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

^ A Monetary History of the United States”, 1867-1960.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

.Current Chairman of the Federal Reserve Ben Bernanke agrees that monetary factors played important roles both in the worldwide economic decline and eventual recovery.^ Ben Bernanke, current Fed Chairman, has written about this.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

^ Monetary politics played an important role in causing the Great Depression.

^ October 19, 2008 10:29 pm Link Marriner S. Eccles, was the Chairman of the Federal Reserve from 1934 1948 .
  • Voices From the Depression in New York - City Room Blog - NYTimes.com 3 February 2010 18:47 UTC cityroom.blogs.nytimes.com [Source type: General]

[39] .Bernanke, also sees a strong role for institutional factors, particularly the rebuilding and restructuring of the financial system,[40] and points out that the Depression needs to be examined in international perspective.^ Antipathy to government regulation of private enterprise meant failure to halt business abuses or to institute needed reforms in the financial system of the country.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ A Vicious Circle Ending In A Systemic Financial Meltdown (We're Toast) Mike Whitney Information Clearing House at tickerforum.org - Reproduced here in its entirety due to the need to join the forum to see this post.

^ My point was that finding ways to reduce energy consumption (as well as finding alternatives) is exactly the kind of ingenuity we need to get out of this crisis.
  • Daily Kos: The worst housing slump since the Great Depression? 3 February 2010 18:47 UTC www.dailykos.com [Source type: General]

[41] .Economists Harold L. Cole and Lee E. Ohanian, believe that the economy should have returned to normal after four years of depression except for continued depressing influences, and point the finger to the lack of downward flexibility in prices and wages, encouraged by Roosevelt Administration policies such as the National Industrial Recovery Act.^ The institution of the National Recovery Administration remains a controversial act to this day.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Then magically the economy ‘returns to normal’.
  • 12 Ways To Prepare For The Next Great Depression | The Best Article Every day 27 January 2010 23:58 UTC www.bspcn.com [Source type: General]

^ The National Industrial Recovery Act (NIRA) was passed on June 6, 1933 and was designed to raise prices and wages.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

[42]

Gold standard

.Economic studies have indicated that just as the downturn was spread worldwide by the rigidities of the Gold Standard, it was suspending gold convertibility (or devaluing the currency in gold terms) that did most to make recovery possible.^ The gold standard did not fail.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ Again the gold standard is just the opposite.
  • Econbrowser: Economics of the Great Depression 12 January 2010 1:55 UTC www.econbrowser.com [Source type: General]

^ Keynes himself wrote several essays (included in "Essays in Persuasion") on the horrible negative arbitrary and unfair effects he anticipated if Britain returned to the Gold standard with a currency re-valuation after WW I. One of the most interesting points he makes is that Gold is far from a stable index in terms of purchasing power.
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

[43][44] .What policies countries followed after casting off the gold standard, and what results followed varied widely.^ So countries went off the gold standard at different times...
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

^ (For the purpose of their analysis, they developed an influential two-country model of the operation of the gold standard, that has since been extended by Temin [19] and others.
  • Great Depression - Tutorials - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ The same happened after Italy dropped the gold standard in 1934, and for Belgium when it went off in 1935.
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

.Every major currency left the gold standard during the Great Depression.^ How the gold standard contributed to the Great Depression.
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

^ The answer during the Great Depression was "no."
  • Marginal Revolution: Understanding Fiscal Policy During the Great Depression 3 February 2010 18:47 UTC www.marginalrevolution.com [Source type: General]

^ Econbrowser: The gold standard and the Great Depression Econbrowser .
  • Econbrowser: The gold standard and the Great Depression 3 February 2010 18:47 UTC www.econbrowser.com [Source type: General]

Great Britain was the first to do so. .Facing speculative attacks on the pound and depleting gold reserves, in September 1931 the Bank of England ceased exchanging pound notes for gold and the pound was floated on foreign exchange markets.^ Federal Reserve Note prior to removal of gold to foreign principals of the Federal Reserve Banks.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ Austria and Germany ceased to make foreign payments and froze large English and American credits; when England finally suspended gold payments in September, 1931, the crisis spread to the U.S. The fall in foreign bond values set off a collapse of the general bond market, which hit American banks at their weakest point—their investment portfolios.
  • The Great Depression | The Freeman | Ideas On Liberty 27 January 2010 23:58 UTC www.thefreemanonline.org [Source type: FILTERED WITH BAYES]

^ Federal Reserve Act providing ways by means of which the gold and general currency in the hands of the American people could be obtained by the Federal Reserve Banks in exchange for Federal Reserve Notes which are not money...
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

The Depression in international perspective.[45]
Great Britain, Japan, and the Scandinavian countries left the gold standard in 1931. Other countries, such as Italy and the United States, remained on the gold standard into 1932 or 1933, while a few countries in the so-called "gold bloc", led by France and including Poland, Belgium and Switzerland, stayed on the standard until 1935–1936.
.According to later analysis, the earliness with which a country left the gold standard reliably predicted its economic recovery.^ Countries that left the gold standard soonest recovered soonest.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ I’m still trying to assimilate reliable cross-country comparable data on Japan, so I’ll put numbers to that at some later date.
  • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]

^ According to the Keynesian view in the early 1930's the current economic fetish, the balanced budget, prevented an increase in public spending to boost demand.
  • REVISIONIST VIEW OF THE GREAT DEPRESSION 6 February 2010 13:46 UTC www.gold-eagle.com [Source type: Original source]

.For example, Great Britain and Scandinavia, which left the gold standard in 1931, recovered much earlier than France and Belgium, which remained on gold much longer.^ Sweden left the gold standard at the same time as Britain, and started to recover.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ Countries that left the gold standard soonest recovered soonest.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Britain left the gold standard in September 1931, and started to recover.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

.Countries such as China, which had a silver standard, almost avoided the depression entirely.^ Countries that never were on the gold standard avoided the Depression!
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ My prayers are that we avoid a meltdown such as the great depression.

^ All it would take is for China to say, “we want our dough back right now” for our entire country to crumble economically.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

.The connection between leaving the gold standard as a strong predictor of that country's severity of its depression and the length of time of its recovery has been shown to be consistent for dozens of countries, including developing countries.^ Countries that never were on the gold standard avoided the Depression!
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Connected by an international gold standard, the development in other countries was similar.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ The timing and severity of the Great Depression varied substantially across countries.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.This partly explains why the experience and length of the depression differed between national economies.^ "This economics masterpiece explains why capitalism is unstable by nature and necessity, and the economy will not self-correct after a catastrophic collapse without government intervention.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ The Economies of Africa and Asia in the inter-war depression (1989) Davis, Joseph S., The World Between the Wars, 1919-39: An Economist's View (1974) Eichengreen, Barry.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Of course, there are many differences between today and the 30s that make a repeat of the Great Depression unlikely, as you said.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

[46]

World War II and recovery

A female factory worker in 1942, Fort Worth, Texas. Women entered the workforce as men were drafted into the armed forces.
.The common view among economic historians is that the Great Depression ended with the advent of World War II. Many economists believe that government spending on the war caused or at least accelerated recovery from the Great Depression.^ "This is THE best economics book on the Great Depression.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Labels: economic crisis , economics , Great Depression .

^ But the Fed was the cause of the great depression.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

.However, some consider that it did not play a very large role in the recovery, although it did help in reducing unemployment.^ Did some very destructive things when business tried to hide.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

^ So when you actually look at the readily available data it is obvious that military spending nor military exports to Europe played a significant role in the 1938-1940 economic recovery.
  • Did World War II end the Great Depression? - Megan McArdle 27 January 2010 23:58 UTC meganmcardle.theatlantic.com [Source type: Original source]

^ However, I like to think that I am the better for it - a lesson learned the hard way is seldom forgotten, and you do meet some very interesting people on the way.
  • Second Great Depression in Detroit | The Second Great Depression 3 February 2010 18:47 UTC www.depression2.tv [Source type: Original source]

[1][47][48]
.The massive rearmament policies leading up to World War II helped stimulate the economies of Europe in 1937–39. By 1937, unemployment in Britain had fallen to 1.5 million.^ The massive rearmament policies to counter the threat from Nazi Germany helped stimulate the economies in Europe in 1937-39.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Not to mention, the rest of the worlds economy is on the up and up.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ By 1937, unemployment in Britain had fallen to 1.5 million.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.The mobilization of manpower following the outbreak of war in 1939 finally ended unemployment.^ Unemployment was very high in 1939, following the '37-8 recession: 19%.
  • Did World War II end the Great Depression? - Megan McArdle 27 January 2010 23:58 UTC meganmcardle.theatlantic.com [Source type: Original source]

^ The easing of tensions following the end of the Cold War also gave the market system much more room to manoeuvre, without the need for destructive, cleansing recessions.
  • The ‘credit crunch’: another Great Depression? | spiked 27 January 2010 23:58 UTC www.spiked-online.com [Source type: FILTERED WITH BAYES]

^ John Maynard Keynes and his followers - to their great credit - played major roles in the political and diplomatic activities that ended the trade war.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

[8]
.America's late entry into the war in 1941 finally eliminated the last effects from the Great Depression and brought the unemployment rate down below 10%.^ The Great Depression: America 1929-1941 forum What is the best book on the Great Depression?
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ "The Nazi dictator Hitler gained power during the Great Depression, because desperate Germans were receptive to a radical - the world hurling from economic collapse to world war.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ It ended in the early 1940s, when U.S. entry into World War Two produced massive public investments in defense spending.

[49] .In the United States, massive war spending doubled economic growth rates, either masking the effects of the Depression or essentially ending the Depression.^ The war ended the Depression.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

^ In the United States, the massive war spending doubled the GNP, masking the effects of the Depression.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ For those not trained in the history of the Great Depression, I always recommend “Freedom from Fear: The American People in Depression and War, 1929-1945″ (Oxford History of the United States) by David Kennedy as a good comprehensive 1 volume start on learning more.
  • The Menace of Mortgage Debts: Lessons from the Great Depression Series: Part IV: Where do we go After the Housing Crash? » Dr. Housing Bubble Blog 3 February 2010 18:47 UTC www.doctorhousingbubble.com [Source type: FILTERED WITH BAYES]

.Businessmen ignored the mounting national debt and heavy new taxes, redoubling their efforts for greater output to take advantage of generous government contracts.^ Businessmen ignored the mounting national debt and heavy new taxes, redoubling their efforts for greater output to take advantage of generous government contracts.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Hoover/FDR raised taxes and increased government intervention (Smoot-Hawley tariff and New Deal).
  • Tracking The Second Great Depression 27 January 2010 23:58 UTC www.businessinsider.com [Source type: FILTERED WITH BAYES]

^ (Government-induced cartels are bad, but successful free-market mergers take advantage of economies of scale and better management.

Effects

Unemployed men march in Toronto, Ontario, Canada.
.
During the Depression bankers became so unpopular that bank robbers, such as Bonnie and Clyde, became folk heroes.
^ In fact, during the Great Depression, the only stable incomes where from such jobs and they were the only people who had any money to spend.
  • The Menace of Mortgage Debts: Lessons from the Great Depression Series: Part IV: Where do we go After the Housing Crash? » Dr. Housing Bubble Blog 3 February 2010 18:47 UTC www.doctorhousingbubble.com [Source type: FILTERED WITH BAYES]

^ The bank was sound, as evidenced by its ability to pay off depositors 92.5 cents on the dollar when it was liquidated during the worst of the Depression.
  • Hoover Institution - Policy Review - The Fed's "Depression" and the Birth of the New Deal 27 January 2010 23:58 UTC www.hoover.org [Source type: Original source]

^ Previous research has found that banks that failed during the Depression started out weaker than banks that survived, suggesting a lot of the bank failures may have been unavoidable.
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

[50]
.The majority of countries set up relief programs, and most underwent some sort of political upheaval, pushing them to the left or right.^ The majority of countries set up relief programs, and most underwent some sort of political upheaval, pushing them to the left or right.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The Recession had already started in most parts of the country in early '06 (some regions experienced the start in Fall of '05).
  • Tracking The Second Great Depression 27 January 2010 23:58 UTC www.businessinsider.com [Source type: FILTERED WITH BAYES]

^ There was no systematic plan behind the different programs, but they ended up as a massive set of public works that helped the United States catch up on some of its need for public infrastructure.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

In some states, the desperate citizens turned toward nationalist demagogues—the most infamous being Adolf Hitler—setting the stage for World War II in 1939.

Australia

.Australia's extreme dependence on agricultural and industrial exports meant it was one of the hardest-hit countries in the Western world, amongst the likes of Canada and Germany.^ Hardest hit in the early stages was agriculture.

^ Main article: Great Depression in Australia Australia's extreme dependence on agricultural and industrial exports meant it was one of the hardest-hit countries in the Western world , amongst the likes of Canada and Germany .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Hardest hit was the industrial Midwest; the Pacific Northwest, where the logging industry lagged from construction declines; and some states in the South, where the recession hit late.
  • Current recession on track to become worst since Great Depression | New Orleans Metro Real Time News - - NOLA.com 27 January 2010 23:58 UTC www.nola.com [Source type: General]

.Falling export demand and commodity prices placed massive downward pressures on wages.^ Falling export demand and commodity prices placed massive downward pressures on wages.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ Commodity prices began to fall.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ Autos and railroad car loadings and other trade indices fall at time when trade usually picks up - commodity prices break to new Depression lows.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.Further, unemployment reached a record high of 29% in 1932,[51] with incidents of civil unrest becoming common.^ Unemployment was low and wages and dividend payments reached new highs.
  • Great Depression, The_Crash_of_'29, The crash of 1929, facts of the Great Depression 27 January 2010 23:58 UTC www.futurecasts.com [Source type: News]

^ Australia’s national income was soon to decline by 30 per cent; her real national product by 18 per cent; and unemployment of trade unionists to reach 30 per cent in the second quarter of 1932.
  • Chapter 6. The Great Depression and the battle for inflation 3 February 2010 18:47 UTC epress.anu.edu.au [Source type: Original source]

^ Still, the collapse in the banking sector and rise in unemployment to 25% by 1932 meant that foreclosures reached an all-time high.
  • How Is This Depression Different from the Great Depression? | The Moderate Voice 12 January 2010 1:55 UTC themoderatevoice.com [Source type: Original source]

.After 1932, an increase in wool and meat prices led to a gradual recovery.^ After 1932, an increase in wool and meat prices led to a gradual recovery.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ As a result, when a variety of minor events led to gradual price declines in October 1929, investors lost confidence and the stock market bubble burst.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

Canada

.Harshly impacted by both the global economic downturn and the Dust Bowl, Canadian industrial production had fallen to only 58% of the 1929 level by 1932, the second lowest level in the world after the United States, and well behind nations such as Britain, which saw it fall only to 83% of the 1929 level.^ The decline in German industrial production was roughly equal to that in the United States.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Main article: Great Depression in Canada Harshly impacted by both the global economic downturn and the Dust Bowl , Canadian industrial production had fallen to only at 58% of the 1929 level by 1932, the second lowest level in the world after the United States, and well behind nations such as Britain, which only saw it fall to 83% of the 1929 level.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ However, the state of the economic world in 1929 was not a duplicate of 1920–21.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

.Total national income fell to 56% of the 1929 level, again worse than any nation apart from the United States.^ In 1929 the national income for the United States was 85 billions of dollars.
  • The Menace of Mortgage Debts: Lessons from the Great Depression Series: Part IV: Where do we go After the Housing Crash? » Dr. Housing Bubble Blog 3 February 2010 18:47 UTC www.doctorhousingbubble.com [Source type: FILTERED WITH BAYES]

^ Total national income fell to 55% of the 1929 level, again worse than any nation other than the United States.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The bottom three quarters of the population had an aggregate income of less than 45% of the combined national income; while the top 25% of the population took in more than 55% of the national income...Between 1925 and 1929 the total credit more than doubled from $1.38 billion to around $3 billion".
  • Mike Whitney: The Second Great Depression 12 January 2010 1:55 UTC www.counterpunch.org [Source type: General]

.Unemployment reached 27% at the depth of the Depression in 1933.[52] During the 1930s, Canada employed a highly restrictive immigration policy.^ Unemployment reached 27% at the depth of the Depression in 1933.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ During the Depression , unemployment was around 25%.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ We're not even close to a 25% unemployment rate of the 1930s and we have a lot more safety nets than during that time.
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

[53]

Chile

.Chile initially felt the impact of the Great Depression in 1930, when GDP dropped 14 percent, mining income declined 27 percent, and export earnings fell 28 percent.^ The great depression was felt by all income groups.
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

^ People’s real disposable incomes dropped 28 percent.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ February 15, 2008, 12:27 PM ET Lessons for Today: Bank Panics and the Great Depression .
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

.By 1932 GDP had shrunk to less than half of what it had been in 1929, exacting a terrible toll in unemployment and business failures.^ Which is less than half of Presidnet Bush's!
  • Thomas Sowell : Another Great Depression? - Townhall.com 12 January 2010 1:55 UTC townhall.com [Source type: FILTERED WITH BAYES]

^ Auto sales and production drop - steel prices and production slip - private construction falls - unemployment and business failures sharply higher.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ In 1930, Americans produced 8.6 percent fewer final goods and services than in 1929, in 1931 15 percent less, and in 1932 and 1933 roughly 26 percent less than in 1929.
  • This Is Not Another Great Depression - Freakonomics Blog - NYTimes.com 27 January 2010 23:58 UTC freakonomics.blogs.nytimes.com [Source type: General]

.The League of Nations labeled Chile the country hardest hit by the Great Depression because 80 percent of government revenue came from exports of copper and nitrates, which were in low demand.^ Labels: economic crisis , economics , Great Depression .

^ Labels: Great Depression , protectionism .

^ Labels: economic crisis , Great Depression .

.Influenced profoundly by the Great Depression, many national leaders promoted the development of local industry in an effort to insulate the economy from future external shocks.^ Main article: Economy of the Soviet Union#Economic development Having removed itself from the capitalist world system both by choice and as a result of efforts of the capitalist powers to isolate it the Great Depression is considered not to be applicable to the Soviet Union.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ "The Great Depression was the worst economic slump ever in U.S. history, and one which spread to virtually all of the industrialized world.
  • Mike Whitney: The Second Great Depression 12 January 2010 1:55 UTC www.counterpunch.org [Source type: General]

^ I really don’t have a indepth knowledge of the great depression, but I do know the misery is very real for many of us, and was long before this weeks activities.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

.After six years of government austerity measures, which succeeded in reestablishing Chile's creditworthiness, Chileans elected to office during the 1938–58 period a succession of center and left-of-center governments interested in promoting economic growth by means of government intervention.^ Each opened during a period of economic downturn.
  • The Great Restructuring « BuzzMachine 3 February 2010 18:47 UTC www.buzzmachine.com [Source type: FILTERED WITH BAYES]

^ M. VAN BUREN The Panic of 1837 Which led to a Six Year Depression that lasted until 1843 During the term of John Tyler while in office as President, April 4, 1841 to March 4, 1845.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ "This economics masterpiece explains why capitalism is unstable by nature and necessity, and the economy will not self-correct after a catastrophic collapse without government intervention.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

.Prompted in part by the devastating earthquake of 1939, the Popular Front government of Pedro Aguirre Cerda created the Production Development Corporation (Corporación de Fomento de la Producción, CORFO) to encourage with subsidies and direct investments an ambitious program of import substitution industrialization.^ On May 18 Roosevelt signed the bill creating the Tennessee Valley Authority, the first large government-owned utility corporation in the United States.
  • Climbing Out of the Great Depression 3 February 2010 18:47 UTC econ161.berkeley.edu [Source type: Original source]

^ The National Recovery Administration (NRA) created industrial cartels in which existing business made agreements on sharing markets and production.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ Some subsidy programs, such as import tariffs, actually generate tax revenue for the government but also impose costs on consumers that exceed the government’s revenue gain.
  • Thomas Sowell : Another Great Depression? - Townhall.com 12 January 2010 1:55 UTC townhall.com [Source type: FILTERED WITH BAYES]

.Consequently, as in other Latin American countries, protectionism became an entrenched aspect of the Chilean economy.^ This hurt the Canadian economy more than most other countries in the world, and Canada retaliated by raising its own rates on American imports and by switching business to the Empire.
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ Once the U.S. economy began to contract severely, the tendency for gold to flow out of other countries and toward the United States intensified.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ The decline in the American economy was the motor that pulled down most other countries at first, then internal weaknesses or strengths in each country made conditions worse or better.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

France

.The Depression began to affect France around 1931. France's relatively high degree of self-sufficiency meant the damage was considerably less than in nations like Germany.^ The bottom three quarters of the population had an aggregate income of less than 45% of the combined national income; while the top 25% of the population took in more than 55% of the national income...Between 1925 and 1929 the total credit more than doubled from $1.38 billion to around $3 billion".
  • Mike Whitney: The Second Great Depression 12 January 2010 1:55 UTC www.counterpunch.org [Source type: General]

^ Without a diagnosis of a Major Depressive Episode, the only other option is Disthymia, which is persistently negative mood having persisted for no less than 2 years.
  • The Great Depression - Reason Magazine 3 February 2010 18:47 UTC reason.com [Source type: FILTERED WITH BAYES]

^ In 1930, Americans produced 8.6 percent fewer final goods and services than in 1929, in 1931 15 percent less, and in 1932 and 1933 roughly 26 percent less than in 1929.
  • This Is Not Another Great Depression - Freakonomics Blog - NYTimes.com 27 January 2010 23:58 UTC freakonomics.blogs.nytimes.com [Source type: General]

.However, hardship and unemployment were high enough to lead to rioting and the rise of the socialist Popular Front.^ However hardship and unemployment were high enough to lead to rioting and the rise of the socialist Popular Front .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ He cites one piece of macro data, among many others, as an example - new unemployment insurance claims (mentioned above) that are high, rising, but not unusual in recessionary times.

^ The Great Depression in the Netherlands led to some political instability and riots, and can be linked to the rise of the Dutch national-socialistic party NSB .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

Germany

"Diligent young man seeks work"
.Germany's Weimar Republic was hit hard by the depression, as American loans to help rebuild the German economy now stopped.^ American agriculture was particularly hard hit.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ Canada was hard hit by the Great Depression .
  • Great Depression, Canada - encyclopedia article - Citizendium 27 January 2010 23:58 UTC en.citizendium.org [Source type: FILTERED WITH BAYES]

^ Main article: Great Depression in Central Europe Germany's Weimar Republic was hit hard by the depression, as American loans to help rebuild the German economy now stopped.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[54] Unemployment soared, especially in larger cities, and the political system veered toward extremism.[55] .The unemployment rate reached nearly 30% in 1932.[56] Repayment of the war reparations due by Germany were suspended in 1932 following the Lausanne Conference of 1932.^ Further, unemployment reached a record high of almost 32% in 1932, with incidents of civil unrest becoming common.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ We’re entering 2009 with nearly the lowest unemployment rate in 30 years, with lower debt, no structural deficit and an enormous stimulus in the form of tax cuts already working through the economy.
  • Ezra Levant: Don't believe the Great Depression hype - Full Comment 3 February 2010 18:47 UTC network.nationalpost.com [Source type: General]

^ Germany's reparations obligations were massive and - in combination with the trade war that followed WW-I - resulted in the destruction of the German economy.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

By that time Germany had repaid 1/8th of the reparations. Hitler's Nazi Party came to power in January 1933.

Japan

.The Great Depression did not strongly affect Japan.^ Austria: “When (President Franklin) Roosevelt did this, he put our country into a Great Depression,” .
  • Think Progress » Rep. Steve Austria: FDR caused the Great Depression. 27 January 2010 23:58 UTC thinkprogress.org [Source type: General]

^ When (President Franklin) Roosevelt did this, he put our country into a Great Depression ,” Austria said.
  • Think Progress » Rep. Steve Austria: FDR caused the Great Depression. 27 January 2010 23:58 UTC thinkprogress.org [Source type: General]

^ Assignment 7a: In around a page or two, answer the following question: Why and how did the Great Depression destabilize the roles of men and women?

.The Japanese economy shrank by 8% during 1929–31. However, Japan's Finance Minister Takahashi Korekiyo was the first to implement what have come to be identified as Keynesian economic policies: first, by large fiscal stimulus involving deficit spending; and second, by devaluing the currency.^ She made no comment on the fact that his platform favored certain economic policies that she approved, such as a balanced budget and a deep cut in federal spending.

^ From the standpoint of the federal government, traditional fiscal stimulus in the form of tax cuts or increased federal spending have reached their practical limits, with the actual annual budget deficit running out of control at $4.0-plus trillion per year.
  • Hyperinflation Special Report 27 January 2010 23:58 UTC www.shadowstats.com [Source type: FILTERED WITH BAYES]

^ Follow us: RSS twitter facebook Real Time Economics offers exclusive news, analysis and commentary on the economy, Federal Reserve policy and economics.
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

.Takahashi used the Bank of Japan to sterilize the deficit spending and minimize resulting inflationary pressures.^ The German budget deficit as a percent of domestic product increased little early in the recovery, but it grew substantially after 1934 as a result of spending on public works and rearmament.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ In Japan, government expenditures, particularly military spending, rose from 31 to 38 percent of domestic product between 1932 and 1934, resulting in substantial budget deficits.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

Econometric studies have identified the fiscal stimulus as especially effective.[57]
The devaluation of the currency had an immediate effect. Japanese textiles began to displace British textiles in export markets. .The deficit spending, however proved to be most profound.^ However, the actual increases in government spending and the government budget deficit were small relative to the size of the economy.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.The deficit spending went into the purchase of munitions for the armed forces.^ If anything, a substantial reducion in deficit spending didn't happen until 1938, well into the depression within the depression.
  • Great Depression: Myths and Facts 27 January 2010 23:58 UTC cafehayek.com [Source type: Original source]

.By 1933, Japan was already out of the depression.^ The Cowboy State, Wyoming historian T. A. Larson points out, "was already quite lean and hungry when the Great Depression began."
  • Wyoming History - Wyoming & The Great Depression 12 January 2010 1:55 UTC www.wwcc.wy.edu [Source type: Original source]

.By 1934 Takahashi realized that the economy was in danger of overheating, and to avoid inflation, moved to reduce the deficit spending that went towards armaments and munitions.^ As prices then tumbled throughout the economy, the Fed’s higher interest rate policy boosted real (inflation-adjusted) rates dramatically.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ Government spends, runs deficits and pays some of its bills through the inflation tax.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ However, the actual increases in government spending and the government budget deficit were small relative to the size of the economy.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

This resulted in a strong and swift negative reaction from nationalists, especially those in the Army, culminating in his assassination in the course of the February 26 Incident. This had a chilling effect on all civilian bureaucrats in the Japanese government. From 1934, the military's dominance of the government continued to grow. Instead of reducing deficit spending, the government introduced price controls and rationing schemes that reduced, but did not eliminate inflation, which would remain a problem until the end of World War II.
The deficit spending had a transformative effect on Japan. .Japan's industrial production doubled during the 1930s.^ The boom in industrial production of the 1930s did signal growth, but not necessarily growth of a higher quality than that, say, of a Soviet factory running three shifts.

^ The boom in industrial production of the 1930s did signal growth...

^ World industrial production continues to track closely the 1930s fall, with no clear signs of ‘green shoots’.
  • Tracking The Second Great Depression 27 January 2010 23:58 UTC www.businessinsider.com [Source type: FILTERED WITH BAYES]

.Further, in 1929 the list of the largest firms in Japan was dominated by light industries, especially textile companies (many of Japan's automakers, like Toyota, have their roots in the textile industry).^ In key industries — manufacturing, financial services and retail — layoffs have accelerated so quickly in recent months as to suggest that many companies are abandoning whole areas of business.
  • The Great Restructuring « BuzzMachine 3 February 2010 18:47 UTC www.buzzmachine.com [Source type: FILTERED WITH BAYES]

^ Just as many people have asked me about what it was like during World War II so have many more people asked me what it was like during the great depression of 1929 to 1939.
  • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

^ As the cost of credit intermediation increased, sources of credit for many borrowers (especially households, farmers and small firms) became expensive or even unobtainable at any price.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

.By 1940 light industry had been displaced by heavy industry as the largest firms inside the Japanese economy.^ Heavy industry does not have a single fixed meaning as compared to light industry.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[58]

Latin America

.Because of high levels of United States investment in Latin American economies, they were severely damaged by the Depression.^ Main article: Great Depression in Latin America Because of high levels of United States investment in Latin American economies, they were severely damaged by the Depression.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ High inflation can be damaging to the functioning of the economy.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ They barter the public credit of the United States Government, and hire it out to foreigners at a profit to themselves.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

Within the region, Chile, Bolivia and Peru were particularly badly affected.

Netherlands

.From roughly 1931 until 1937, the Netherlands suffered a deep and exceptionally long depression.^ My home in the deep South was in a prolonged depression that lasted from The War until the start of WW11.

^ However, as reported by Romer (1993), real GNP did not return to its pre-Depression level until 1937 and real GNP did not catch up to its pre-Depression secular trend until 1942.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ Many of them are also calling for higher taxes and tariffs, the very nonsense that took a recession in 1930 and made it a long and deep depression.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

.This depression was partly caused by the after-effects of the Stock Market Crash of 1929 in the United States, and partly by internal factors in the Netherlands.^ The stock market bubbled up, and then crashed in 1929.
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ The stock market bubbled up, and then crashed in 1929."
  • Campaign For Liberty — Misunderstanding the Causes of the Great Depression 27 January 2010 23:58 UTC www.campaignforliberty.com [Source type: Original source]

^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.Government policy, especially the very late dropping of the Gold Standard, played a role in prolonging the depression.^ From different perspectives, emphasizing different failures, Murray Rothbard in “America’s Great Depression” and Milton Friedman in various works outlined the Fed’s role in causing and prolonging the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ The protectionist trade war policies of the United States government and its sterilization of gold inflows critically obstructed the functioning of the gold standard and played a major role in the collapse of international markets and the onset and continuation of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ The GD was caused by government failure not by the gold standard.
  • Econbrowser: Economics of the Great Depression 12 January 2010 1:55 UTC www.econbrowser.com [Source type: General]

.The Great Depression in the Netherlands led to some political instability and riots, and can be linked to the rise of the Dutch national-socialist party NSB.^ The Great Depression in the Netherlands led to some political instability and riots, and can be linked to the rise of the Dutch national-socialistic party NSB .
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ According to the events that led to The Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Labels: Great Depression , political philosophy .

The depression in the Netherlands eased off somewhat at the end of 1936, when the government finally dropped the Gold Standard, but real economic stability did not return until after World War II.[59]
.
Buried machinery in a barn lot; South Dakota, May 1936. The Dust Bowl on the Great Plains coincided with the Great Depression.
^ Farm oversupply led to depressed farm prices, failed farms, deflation and the Dust Bowl.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Good Dust Bowl scenes: ruined farm machinery - family leaves farm w/ possessions on cart, kids sitting on mattress.
  • Footage Farm: Great Depression 27 January 2010 23:58 UTC www.footagefarm.com [Source type: FILTERED WITH BAYES]

^ This may well be the Detroits' 3rd Great Depression.
  • Second Great Depression in Detroit | The Second Great Depression 3 February 2010 18:47 UTC www.depression2.tv [Source type: Original source]

[60]
Entering Gulag (a leaf from Eufrosinia Kersnovskaya's notebook). .During the Depression thousands of Americans emigrated to the Soviet Union.^ FDR and the Supreme Court A detailed study of the "court packing" episode of 1936-37 and the development of American judiciary during the Depression/New Deal.
  • The Depression - Associated Content - Topic - associatedcontent.com 20 September 2009 12:41 UTC www.associatedcontent.com [Source type: General]

^ Unemployed men vying for jobs at the American Legion Employment Bureau in Los Angeles during the Great Depression (www.english.uiuc.edu) .
  • Is the Great Depression coming back? | Marketplace From American Public Media 3 February 2010 18:47 UTC marketplace.publicradio.org [Source type: General]

^ Course Description: This course will explore American life during the Great Depression in its social, cultural, and environmental aspects.

Many were arrested as potential “spies” during the Great Terror of 1937-38.[61]

South Africa

.As world trade slumped, demand for South African agricultural and mineral exports fell drastically.^ The European economies were still devastated after World War I, so the demand for United States’ exports remained strong many years after the War.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

.The Carnegie Commission on Poor Whites had concluded in 1931 that nearly one-third of Afrikaners lived as paupers.^ By not acting, the Federal Reserve allowed the money supply to shrink by one-third from 1930 to 1931.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

.It is believed that the social discomfort caused by the depression was a contributing factor in the 1933 split between the "gesuiwerde" (purified) and "smelter" (fusionist) factions within the National Party and the National Party's subsequent fusion with the South African Party.^ November 7, 1933: Fiorello LaGuardia runs for mayor of New York City on the Fusion Party ticket and wins in the largest voter turnout in the city's history.

^ I believe that despite this inbuilt destructiveness of such a system it will “only” cause minor recessions and probably also stock market crashes but deep recessions and depressions will be avoided.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ This depression was partly caused by the after-effects of the Stock Market Crash of 1929 in the United States, and partly by internal factors in the Netherlands.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

[62]

Soviet Union

.Having removed itself from the capitalist world system both by choice and as a result of efforts of the capitalist powers to isolate it, the Great Depression had little effect on the Soviet Union.^ Main article: Economy of the Soviet Union#Economic development Having removed itself from the capitalist world system both by choice and as a result of efforts of the capitalist powers to isolate it the Great Depression is considered not to be applicable to the Soviet Union.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ "The Nazi dictator Hitler gained power during the Great Depression, because desperate Germans were receptive to a radical - the world hurling from economic collapse to world war.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ Obviously, it required a combination of many powerful causes to undermine the inherently stable and incredibly resilient capitalist economic system, and enmesh the world in the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.A Soviet trade agency in New York advertised 6,000 positions and received more than 100,000 applications.^ Although New York's mayor was addressing some of the needs of the black community, the power to create more sweeping change lay with Roosevelt.

^ It was the New Zealand experience, I'm sure, that had more to do with other central banks around the world adopting inflation targeting than the United States experience.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ Thus, from the initial $1111.11 in the bank reserves, $98,888.89 (98.89% of $100,000.00) of more new money could be created out of thin air.
  • EXCESSIVE  DEBT  and  MONEY 27 January 2010 23:58 UTC one-simple-idea.com [Source type: Original source]

[63] .Its apparent immunity to the Great Depression seemed to validate the theory of Marxism and contributed to Socialist and Communist agitation in affected nations.^ In theory, little government and economic freedom sounds great but before the great depression economic instability and undue hardship has been a reality.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ It was J. M. Keynes, a well known British economist, with his General Theory, saved Capitalism from eternal peril during the Great Depression of 1939.
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

^ My mom and dad, children of the Great Depression, knew how to get by though and my brother and I didn’t seem to notice.

.Many Western intellectuals, like New York Times reporter Walter Duranty, looked upon Soviet Union with sympathy, either ignorant of or ignoring reports about the Holodomor that killed millions of people.^ Four New York Times headlines.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ There is more time to sleep, and because people have less money, they are less likely to spend as much on alcohol and tobacco.

^ Many volumes have been written about the Great Depression of 1929-1941 and its impact on the lives of millions of Americans.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

[64]

United Kingdom

.The effects on the industrial areas of Britain were immediate and devastating, as demand for British products collapsed.^ This resulted in immediate substantial cuts in the production of autos and, by September, 1929, in steel and other associated industries as well.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ But it wasn't until last October, with the collapse of financial industry, that many Americans began to feel the effects, economists say.
  • PhillyBurbs.com:  Great Depression lessons recalled 27 January 2010 23:58 UTC www.phillyburbs.com [Source type: News]

^ The target of these acquisitions are the numerous highly productive industrial and services sector companies, which are on the verge of bankruptcy and/or whose stock values have collapsed.
  • The Great Depression of the 21st Century - Collapse of the Real Economy 3 February 2010 18:47 UTC www.real-debt-elimination.com [Source type: News]

.By the end of 1930 unemployment had more than doubled from 1 million to 2.5 million (20% of the insured workforce), and exports had fallen in value by 50%.^ By 1937, unemployment in Britain had fallen to 1.5 million.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ The unemployment rate at the end of 1930 was only about 8.9% - similar to the 1975 recession.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ We're not even close to a 25% unemployment rate of the 1930s and we have a lot more safety nets than during that time.
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

.In 1933, 30% of Glaswegians were unemployed due to the severe decline in heavy industry.^ Even if we attribute everything to the WPA, all the way into 1940, the most the unemployment declines was by 30%.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ Virtually every industrialized country endured declines in wholesale prices of 30 percent or more between 1929 and 1933.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Oilfield shots - VO re decline of coal industry by 1926 - two thirds of anthracite miners in PA unemployed by 1930s - miners stealing coal from abandoned mines.
  • Footage Farm: Great Depression 27 January 2010 23:58 UTC www.footagefarm.com [Source type: FILTERED WITH BAYES]

.In some towns and cities in the north east, unemployment reached as high as 70% as ship production fell 90%.^ Further, unemployment reached a record high of almost 32% in 1932, with incidents of civil unrest becoming common.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ In this situation, the economy might have reached a perfect balance, at a cost of high unemployment.
  • What is Great Depression? 12 January 2010 1:55 UTC ipedia.net [Source type: FILTERED WITH BAYES]

^ It was designed to take aimless, unemployed youth from city streets, give them some semi-military discipline, and put them to work in the bracing countryside .
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

[65] .The National Hunger March of September–October 1932 was the largest[66] of a series of hunger marches in Britain in the 1920s and 1930s.^ January 2010 December 2009 November 2009 October 2009 September 2009 August 2009 July 2009 June 2009 May 2009 April 2009 March 2009 February 2009 January 2009 December 2008 November 2008 October 2008 September 2008 August 2008 July 2008 June 2008 May 2008 April 2008 March 2008 February 2008 January 2008 December 2007 November 2007 October 2007 September 2007 August 2007 .
  • Did World War II end the Great Depression? - Megan McArdle 27 January 2010 23:58 UTC meganmcardle.theatlantic.com [Source type: Original source]

^ January 2010 December 2009 November 2009 October 2009 September 2009 August 2009 July 2009 June 2009 May 2009 April 2009 March 2009 February 2009 January 2009 December 2008 November 2008 October 2008 September 2008 August 2008 June 2008 May 2008 April 2008 March 2008 February 2008 November 2007 October 2007 September 2007 August 2007 July 2007 June 2007 May 2007 April 2007 March 2007 Categories .
  • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]

^ November 2008 October 2008 September 2008 August 2008 July 2008 June 2008 May 2008 April 2008 March 2008 February 2008 Subscribe to this blog's feed .
  • Open House: Have Your Say: The Great Depression 6 February 2010 13:46 UTC blogs.independent.co.uk [Source type: General]

About 200,000 unemployed men were sent to the work camps, which continued in operation until 1939.[67]
Shacks, put up by the Bonus Army (World War I veterans) on the Anacostia flats, Washington, DC, burning after the battle with the 1,000 soldiers accompanied by tanks and machine guns, 1932.[68]

United States

Bennett buggies, or "Hoover wagons", cars pulled by horses, were used by farmers too impoverished to purchase gasoline.
.President Herbert Hoover started numerous programs, all of which failed to reverse the downturn.^ Upon succeeding to the Presidency, Herbert Hoover predicted that the United States would soon see the day when poverty was eliminated.
  • The Great Depression [ushistory.org] 6 February 2010 13:46 UTC www.ushistory.org [Source type: Academic]

^ When Herbert Clark Hoover took over the office of the president he expected the prosperity of the nation to continue.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ This book begins with President Herbert Clark Hoover on inauguration 1929, and ends with President Franklin Delano Roosevelt and the New Deal.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

[69] .In June 1930 Congress approved the Smoot-Hawley Tariff Act which raised tariffs on thousands of imported items.^ The Smoot-Hawley Tariff Act that Hoover signed in 1930 devastated international trade.

^ The Smoot-Hawley Tariff sharply increased tariffs.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ It was greatly aggravated by President Hoovers panicky deficit spending, adoption of protectionist tariffs (Smoot-Hawley Act of 1930), and an enormous tax increase in 1932.
  • The Next Great Depression 27 January 2010 23:58 UTC www.visandvals.org [Source type: General]

.The intent of the Act was to encourage the purchase of American-made products by increasing the cost of imported goods, while raising revenue for the federal government and protecting farmers.^ Federal Reserve Act providing ways by means of which the gold and general currency in the hands of the American people could be obtained by the Federal Reserve Banks in exchange for Federal Reserve Notes which are not money...
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ Many considered Prohibition to be an abject failure, and by the late 1920s its termination was considered a means for increasing federal revenue (alcohol would be legal, but taxed).
  • Archival Resources on the Great Depression 27 January 2010 23:58 UTC www.ou.edu [Source type: FILTERED WITH BAYES]

^ By increasing the number of U.S. dollars in circulation, or even by credibly threatening to do so, the U.S. government can also reduce the value of a dollar in terms of goods and services, which is equivalent to raising the prices in dollars of those goods and services.
  • Macroeconomic Analysis of The Hyperinflation Second Great Depression 3 February 2010 18:47 UTC pix.cs.olemiss.edu [Source type: FILTERED WITH BAYES]

.However, other nations increased tariffs on American-made goods in retaliation, reducing international trade, and worsening the Depression.^ When the Depression spread across the Atlantic, Europeans bought fewer American products, worsening the slide.
  • The Great Depression [ushistory.org] 6 February 2010 13:46 UTC www.ushistory.org [Source type: Academic]

^ The other factor was the Smoot-Hawley Tariff Act (enacted June 17, 1930) which worsened the depression by seriously reducing international trade and causing retaliatory tariffs.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ By increasing the number of U.S. dollars in circulation, or even by credibly threatening to do so, the U.S. government can also reduce the value of a dollar in terms of goods and services, which is equivalent to raising the prices in dollars of those goods and services.
  • Macroeconomic Analysis of The Hyperinflation Second Great Depression 3 February 2010 18:47 UTC pix.cs.olemiss.edu [Source type: FILTERED WITH BAYES]

[70] .In 1931 Hoover urged the major banks in the country to form a consortium known as the National Credit Corporation (NCC).^ The depredations and iniquities of the Federal Reserve Board and the Federal Reserve Banks acting together have cost this country enough money to pay the national debt several times over."
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ This is not in harmony with the intent of the Federal Reserve Act, nor is it conducive to the wholesome operation of the banking and credit system of the country.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ March 5, 1933: To save the banking system from collapse, FDR declares a national "bank holiday," closing banks across the country.

[71] .By 1932 unemployment had reached 23.6%, and it peaked in early 1933 at 25%,[72] a drought persisted in the agricultural heartland, businesses and families defaulted on record numbers of loans,[73] and more than 5,000 banks had failed.^ Small banks and businesses failing in record numbers - business and agriculture collapse.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ More banks fail.
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

^ As 1932 began, the number of bank failures reached 1,860.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

[74] .Hundreds of thousands of Americans found themselves homeless and they began congregating in the numerous Hoovervilles that had begun to appear across the country.^ Thousands of Americans, including the poor migrants in California, found jobs in the war industry.

^ Governments refused to work together and each and every country took care of themselves first, regardless of the world disasters they created.
  • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

^ Across the country, Sinclair's leftist leaning made room for change at the center of American politics; in addition, he persuaded ordinary people that -- win or lose -- they had a voice in the electoral process.

[75] .In response, President Hoover and Congress approved the Federal Home Loan Bank Act, to spur new home construction, and reduce foreclosures.^ Hoover was responsible for the New Deal.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ It was greatly aggravated by President Hoovers panicky deficit spending, adoption of protectionist tariffs (Smoot-Hawley Act of 1930), and an enormous tax increase in 1932.
  • The Next Great Depression 27 January 2010 23:58 UTC www.visandvals.org [Source type: General]

^ Federal Reserve Act providing ways by means of which the gold and general currency in the hands of the American people could be obtained by the Federal Reserve Banks in exchange for Federal Reserve Notes which are not money...
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.The final attempt of the Hoover Administration to stimulate the economy was the passage of the Emergency Relief and Construction Act (ERA) which included funds for public works programs such as dams and the creation of the Reconstruction Finance Corporation (RFC) in 1932. The RFC's initial goal was to provide government-secured loans to financial institutions, railroads and farmers.^ Roosevelt increased the funding under his Federal Emergency Relief Administration.

^ The Reconstruction Finance Corporation loaned up to three million dollars to the states for relief.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ That is what the Reconstruction Finance Corporation is doing now.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.Quarter by quarter the economy went downhill, as prices, profits and employment fell, leading to the political realignment in 1932 that brought to power Franklin Delano Roosevelt.^ Any healthy, growing economy will have bankruptcies, shifting employment patterns, etc., but in a market economy, freely set prices quickly balance supply and demand.
  • The Next Great Depression 27 January 2010 23:58 UTC www.visandvals.org [Source type: General]

^ Historically, prices of goods and services fell (deflation defined as increases of the purchasing power of money) during the gold standard period.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ Roosevelt's policies in the 1930s were a hodge-podge of various attempts to increase demand, increase prices for agricultural goods and micro-manage the economy (the NRA).
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

Great Depression: man lying down on pier, New York City docks, 1935.
.Shortly after President Roosevelt was inaugurated in 1933, drought and erosion combined to cause the Dust Bowl, shifting hundreds of thousands of displaced persons off their farms in the Midwest.^ President Roosevelt inauguration w/ sd.
  • Footage Farm: Great Depression 27 January 2010 23:58 UTC www.footagefarm.com [Source type: FILTERED WITH BAYES]

^ This is the origin of the economic depression - not stocks and not the displacement of farmers because of a 7 year drought created by the Dust Bowl that invoked the response of the Works Progress Administration (WPA) in 1935.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ In his first One Hundred Days in office, President Roosevelt creates ten new federal agencies to combat the effects of the Depression.

.From his inauguration onward, Roosevelt argued that restructuring of the economy would be needed to prevent another depression or avoid prolonging the current one.^ But, on another level, the current depression is worse.
  • How Is This Depression Different from the Great Depression? | The Moderate Voice 12 January 2010 1:55 UTC themoderatevoice.com [Source type: Original source]

^ Gordon: Since 1932, the first fiscal priority of the United States government has been to avoid another Great Depression.
  • Is the Great Depression coming back? | Marketplace From American Public Media 12 January 2010 1:55 UTC marketplace.publicradio.org [Source type: General]
  • Is the Great Depression coming back? | Marketplace From American Public Media 3 February 2010 18:47 UTC marketplace.publicradio.org [Source type: General]

^ Russ Roberts: And I would argue, and I assume you would as well, that the relative stability of the U.S. economy over the last 20 years is a reflection of that steady growth in the money supply.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

.New Deal programs sought to stimulate demand and provide work and relief for the impoverished through increased government spending and the institution of financial reforms.^ Should we point to the relief programs of the New Deal and the leadership of Roosevelt?
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ Hoover dramatically increased government spending for subsidy and relief schemes.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ However, a financial wipeout wouldnt compel us to resort to protectionism, increase the tax burden, or have Uncle Sam go on another disruptive spending spree.
  • The Next Great Depression 27 January 2010 23:58 UTC www.visandvals.org [Source type: General]

.The Securities Act of 1933 comprehensively regulated the securities industry.^ The National Industrial Recovery Act of 1933, for example, set up the National Recovery Administration (NRA), which encouraged firms in each industry to adopt a code of behaviour.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ The National Industrial Recovery Act (NIRA) was passed on June 6, 1933 and was designed to raise prices and wages.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ The Banking Act of 1933 (also known as the Glass-Steagall Act) established deposit insurance in the United States and prohibited banks from underwriting or dealing in securities.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.This was followed by the Securities Exchange Act of 1934 which created the Securities and Exchange Commission.^ What many people don’t realize is that the the modern amortized mortgage was actually a creation of the Federal Housing Act of 1934.
  • How Is This Depression Different from the Great Depression? | The Moderate Voice 12 January 2010 1:55 UTC themoderatevoice.com [Source type: Original source]

^ Summer 1934: FDR asks Secretary of Labor Francis Perkins to draft legislation to create a national social security system.

^ The United States, for example, established the Securities and Exchange Commission (1934) to regulate new stock issues and stock market trading practices.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

Though amended, key provisions of both Acts are still in force. .Federal insurance of bank deposits was provided by the FDIC, and the Glass-Steagall Act.^ Glass-Steagall Act: Separated commercial and investment banking and guaranteed bank deposits.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ Federal Reserve Act providing ways by means of which the gold and general currency in the hands of the American people could be obtained by the Federal Reserve Banks in exchange for Federal Reserve Notes which are not money...
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ The depredations and iniquities of the Federal Reserve Board and the Federal Reserve Banks acting together have cost this country enough money to pay the national debt several times over."
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.The institution of the National Recovery Administration (NRA) remains a controversial act to this day.^ The National Recovery Administration (NRA) created industrial cartels in which existing business made agreements on sharing markets and production.
  • TAHPDX Great Depression 27 January 2010 23:58 UTC www.upa.pdx.edu [Source type: FILTERED WITH BAYES]

^ One set up the National Recovery Administration.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ Folsom notes that wage controls were built into National Recovery Act codes until they were judiciously struck down in 1935 (page 114).

The NRA made a number of sweeping changes to the American economy until it was deemed unconstitutional by the Supreme Court of the United States in 1935.
CCC workers constructing road, 1933. Over 3 million unemployed young men were taken out of the cities and placed into 2600+ work camps managed by the CCC.[76]
Early changes by the Roosevelt administration included:
  • Instituting regulations to fight deflationary "cut-throat competition" through the NRA.
  • Setting minimum prices and wages, labor standards, and competitive conditions in all industries through the NRA.
  • Encouraging unions that would raise wages, to increase the purchasing power of the working class.
  • Cutting farm production to raise prices through the Agricultural Adjustment Act and its successors.
  • Forcing businesses to work with government to set price codes through the NRA.
.These reforms, together with several other relief and recovery measures, are called the First New Deal.^ People called these the three Rs of relief, recovery and reform.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ These policies were Republican policies - although they were maintained and even made worse by the New Deal Democrats.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ I have argued extensively that the programs which are commonly accepted to be the New Deal were responsible for the slow recovery of economic activity after the end of the Great Depression in March 1933.

.Economic stimulus was attempted through a new alphabet soup of agencies set up in 1933 and 1934 and previously extant agencies such as the Reconstruction Finance Corporation.^ One of the laws set up the Reconstruction Finance Corporation.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ That is what the Reconstruction Finance Corporation is doing now.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

^ Saturday Evening Post November 1940 article on Jesse Jones, Chairman of FDR's Reconstruction Finance Corporation.
  • The Great Depression [ushistory.org] 6 February 2010 13:46 UTC www.ushistory.org [Source type: Academic]

.By 1935, the "Second New Deal" added Social Security (which did not start making large payouts until much later), a jobs program for the unemployed (the Works Progress Administration, WPA) and, through the National Labor Relations Board, a strong stimulus to the growth of labor unions.^ The Social Security Act was also passed in 1935.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ The Social Security Act of 1935 was one of the New Deals most important reforms.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

^ Progressive sophistry extends to the New Deal.

In 1929, federal expenditures constituted only 3% of the GDP. .The national debt as a proportion of GNP rose under Hoover from 20% to 40%.^ Even the National Debt rose from $2.
  • ContraHour: Martin Armstrong: The Coming Great Depression 12 January 2010 1:55 UTC www.contrahour.com [Source type: General]

^ During the campaign, Roosevelt blasted Hoover for spending and taxing too much, boosting the national debt, choking off trade, and putting millions on the dole.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

.Roosevelt kept it at 40% until the war began, when it soared to 128%.^ The Roosevelt administration didn't start to poke some holes in trade war tariffs and other restrictions until 1935, when it began to negotiate bilateral reciprocal trade agreements.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

WPA employed 2 to 3 million unemployed at unskilled labor.
.By 1936, the main economic indicators had regained the levels of the late 1920s, except for unemployment, which remained high at 11%, although this was considerably lower than the 25% unemployment rate seen in 1933. In the spring of 1937, American industrial production exceeded that of 1929 and remained level until June 1937. In June 1937, the Roosevelt administration cut spending and increased taxation in an attempt to balance the federal budget.^ He was, by and large, unemployed from 1929 until about 1937.
  • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

^ Roosevelt increased the funding under his Federal Emergency Relief Administration.

^ Although it can be higher, and even higher than we have seen.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

[77] .The American economy then took a sharp downturn, lasting for 13 months through most of 1938. Industrial production fell almost 30 per cent within a few months and production of durable goods fell even faster.^ That was my last 4 months almost exactly!
  • Snide Remarks - The Great Depression - www.ericdsnider.com - The Official Website of Eric D. Snider 12 January 2010 1:55 UTC www.ericdsnider.com [Source type: General]

^ A better understanding of the Depression and the New Deal can be had through a good understanding of the pains of the birth of industrial society.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Almost all industrialized economies have been undergone with the phenomena of business cycles, characterized by high growth, stagnation and recession.
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

.Unemployment jumped from 14.3% in 1937 to 19.0% in 1938, rising from 5 million to more than 12 million in early 1938.[78] Manufacturing output fell by 37% from the 1937 peak and was back to 1934 levels.^ Unemployment reached between 12 million and 15 million workers, or about 25 percent of the work force.
  • PhillyBurbs.com:  Great Depression lessons recalled 27 January 2010 23:58 UTC www.phillyburbs.com [Source type: News]

^ Manufacturing employment rose 3.4 percent per QUARTER. The DOW skyrocketed 353% from early 1933 to mid-1937.
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ At low levels it helps more than it hurts.
  • The Great Depression - Reason Magazine 3 February 2010 18:47 UTC reason.com [Source type: FILTERED WITH BAYES]

[79] .Producers reduced their expenditures on durable goods, and inventories declined, but personal income was only 15% lower than it had been at the peak in 1937. As unemployment rose, consumers' expenditures declined, leading to further cutbacks in production.^ The resulting increase in unemployment is conducive to a dramatic decline in consumer spending which in turn backlashes on the levels of production of goods and services.
  • The Great Depression of the 21st Century - Collapse of the Real Economy 3 February 2010 18:47 UTC www.real-debt-elimination.com [Source type: News]

^ A further decline of only 6% in housing starts will exceed all of them.
  • Daily Kos: The worst housing slump since the Great Depression? 3 February 2010 18:47 UTC www.dailykos.com [Source type: General]

^ Among the unemployed, the number of persons who lost their job and did not expect to be recalled to work rose by 615,000 to 4.4 million in October.
  • The Great Depression of the 21st Century - Collapse of the Real Economy 3 February 2010 18:47 UTC www.real-debt-elimination.com [Source type: News]

.By May 1938 retail sales began to increase, employment improved, and industrial production turned up after June 1938.[80] After the recovery from the Recession of 1937–1938, conservatives were able to form a bipartisan conservative coalition to stop further expansion of the New Deal and, when unemployment dropped to 2%, they abolished WPA, CCC and the PWA relief programs.^ Should we point to the relief programs of the New Deal and the leadership of Roosevelt?
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ FDR’s work programs were the WPA & the CCC. they provided work & income.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ But the New Deal didn't restore employment.

Social Security, however, remained in place.

Political consequences

.The crisis had many political consequences, among which was the abandonment of classic economic liberal approaches, which Roosevelt replaced in the United States with Keynesian policies.^ The stock market crash of 1929 touched off a chain of events that plunged the United States into its longest, deepest economic crisis of its history.
  • The Great Depression [ushistory.org] 6 February 2010 13:46 UTC www.ushistory.org [Source type: Academic]

^ Canada and many smaller European countries started to revive at about the same time as the United States, early in 1933.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Chavez was the only Latino in the U.S. Senate, and in spite of all of his great efforts, many Mexicans living in the United States were not citizens an therefore did not qualify for help.
  • 98.04.04: The Great Depression and New Deal 27 January 2010 23:58 UTC www.yale.edu [Source type: News]

.These policies magnified the role of the federal government in the national economy.^ Follow us: RSS twitter facebook Real Time Economics offers exclusive news, analysis and commentary on the economy, Federal Reserve policy and economics.
  • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

^ I do agree that the National Government played a minor role in the downward spiral of the Michigan economy; however, an even bigger player was and still is the current local and state governments and politics in play within the State of Michigan.
  • Second Great Depression in Detroit | The Second Great Depression 3 February 2010 18:47 UTC www.depression2.tv [Source type: Original source]

^ He declares that the Federal Reserve Board has usurped the government of the United States; that it controls both our national and international affairs.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.Between 1933 and 1939, federal expenditure tripled, and Roosevelt's critics charged that he was turning America into a socialist state.^ Nine thousand banks closed their doors in the United States between 1930 and 1933.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ This rise in the currency-to-deposit ratio was a key reason why the money supply in the United States declined 31 percent between 1929 and 1933.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Helped during flood; but Coolidge wasn't comfortable with the Federal Government marching into the south because he felt it was the job of the states.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

[81] .The Great Depression was a main factor in the implementation of social democracy and planned economies in European countries after World War II. (see Marshall Plan).^ Unemployment is the main barometer of the economy and we are not close to the great depression.
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

^ World War I has to be the starting point for any analysis of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ The country didn't start to recover until World War II, which sparked massive wartime spending.
  • PhillyBurbs.com:  Great Depression lessons recalled 27 January 2010 23:58 UTC www.phillyburbs.com [Source type: News]

.Although Austrian economists had challenged Keynesianism since the 1920s, it was not until the 1970s, with the influence of Milton Friedman that the Keynesian approach was politically questioned.^ If the Austrian Theory of the Business Cycle is correct, than the “mainstream” economists are as absurdly wrong as their spiritual predecessors were in the 1920s.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ I do believe that the origin of these policies during the post-war period can be derived from the influence of Milton Friedman during the 70s and 80s.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

^ A little more regarding ECB which also might increase the insight concerning the tremendous influence Monetarism and the ideas of Milton Friedman have on central bankers in the world of today.
  • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

[82]

Literature

.The Great Depression has been the subject of much writing, as authors have sought to evaluate an era that caused financial as well as emotional trauma.^ It alone was not the cause of the Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ The '29 Crash was not the cause of the Great Depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ Great Depression causes & cures .
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.Perhaps the most noteworthy and famous novel written on the subject is The Grapes of Wrath, published in 1939 and written by John Steinbeck, who was awarded both the Nobel Prize for literature and the Pulitzer Prize for the work.^ Their plight was poignantly rendered in John Steinbeck's best selling novel The Grapes of Wrath, published in 1939.

^ Helped Steinbeck win the Nobel Prize in literature."
  • Amazon.com: The Great Depression and the New Deal 12 January 2010 1:55 UTC www.amazon.com [Source type: General]

^ We still enjoy the fiction of John Steinbeck, films of Frank Capra, and populist-themed symphonic works of Aaron Copeland and Roy Harris.

.The novel focuses on a poor family of sharecroppers who are forced from their home as drought, economic hardship, and changes in the agricultural industry occur during the Great Depression.^ Labels: economic crisis , economics , Great Depression .

^ Labels: economic crisis , Great Depression .

^ Entertainment during the Great Depression.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

.Steinbeck's Of Mice and Men is another important novel about a journey during the Great Depression.^ It is impossible for another Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Entertainment during the Great Depression.
  • Great Depression (economy) :: Economic history -- Britannica Online Encyclopedia 12 January 2010 1:55 UTC www.britannica.com [Source type: FILTERED WITH BAYES]

^ Unemployed Chicagoans during Great Depression.
  • PEOPLE For Mathematically Perfected Economy� [PFMPE�] | Congressman Louis T. McFadden before the House of Representatives, June 10, 1932, in the midst of the first Great Depression 3 February 2010 18:47 UTC perfecteconomy.com [Source type: Original source]

.The Great Depression is a novella written by Alon Bersharder about a sad, disgruntled temporary worker, making the title both a homage to the historical event and a pun.^ Historical overview of the Great Depression with an emphasis on economic events.
  • " + soundfiledesc + " 6 February 2010 13:46 UTC www.econtalk.org [Source type: General]

^ According to the events that led to The Great Depression.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ Most important, the Great Depression was not a temporary business cycle phenomenon.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

.Additionally, Harper Lee's To Kill a Mockingbird is set during the Great Depression.^ She survived the Great Depression and claims to have actually gained weight during America's worst state of financial despair.

^ However, the logic of the above argument compels me to be of the opinion that the expectations hypothesis provides an impressive addition to the monetary hypothesis and the nonmonetary/financial hypothesis in accounting for the economic experiences of the United States during the Great Depression.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

^ February 23rd, 2009 5:53 pm ET Did the Yankees third baseman make 25 million dollars a year during the great depression?
  • Cafferty File: Tell Jack how you really feel Blog Archive - Worse than the Great Depression? « - Blogs from CNN.com 3 February 2010 18:47 UTC caffertyfile.blogs.cnn.com [Source type: General]

.Margaret Atwood's Booker prize-winning The Blind Assassin is likewise set in the Great Depression, centering on a privileged socialite's love affair with a Marxist revolutionary.^ For an example of the distortions still being caused by these myths in serious scholarship, see, David Kennedy, "Freedom from Fear" (I), Economic Great Depression , a seriously flawed Pulitzer prize winning volume of the Oxford History of the U.S. ?
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ Instead, with this fixation on equilibrium, they attempt to analyse all economic processes in a hypothetical free market economy as if it is always in equilibrium–and they do likewise to the Great Depression.
  • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]

^ But when they start using words like “great depression” or “worst financial crisis” or exaggerate as much as they can people stay glued to their tv sets.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

.The era spurred the resurgence of social realism, practiced by many who started their writing careers on relief programs such as the Federal Writers' Project; that experience and its effects is described in the history Soul of a People: The WPA Writers' Project Uncovers Depression America, by David Taylor (2009).^ Roosevelt has been lauded for his “job-creating” acts such as the CWA and the WPA. Many people think that they helped relieve the Depression.
  • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

^ I really don’t have a indepth knowledge of the great depression, but I do know the misery is very real for many of us, and was long before this weeks activities.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ I guess you discount the majority of economists who have projected that the economy will start growing again in Q2 2009.

Other "great depressions"

.There have been other downturns called a "Great Depression," but none has been as worldwide for so long.^ I really don’t have a indepth knowledge of the great depression, but I do know the misery is very real for many of us, and was long before this weeks activities.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ First, there were the major fundamental weaknesses of government economic policy that comprised the real underlying causes that made the Great Depression worse and longer than any other economic depression.
  • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

^ There is a growing belief that the worst economic downturn since the Great Depression is over.
  • Recessions and Depressions: News & Videos about Recessions and Depressions - CNN.com 27 January 2010 23:58 UTC topics.cnn.com [Source type: News]

.Various nations have experienced brief or extended periods of economic downturns, which may be referred to as a "depression", but has not been of global impact.^ They are repayable over a period of from one to five years at 5 per cent interest.” —Will Alexander, FSA administrator, statement before the Temporary National Economic Committee, p.
  • Archival Resources on the Great Depression 27 January 2010 23:58 UTC www.ou.edu [Source type: FILTERED WITH BAYES]

^ There is a growing belief that the worst economic downturn since the Great Depression is over.
  • Recessions and Depressions: News & Videos about Recessions and Depressions - CNN.com 27 January 2010 23:58 UTC topics.cnn.com [Source type: News]

^ Sources of Output Fluctuations during the Interwar Period: Further Evidence on the Causes of the Great Depression.” Review of Economics and Statistics 76, no.
  • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

.British economic historians used the term "Great depression" to describe British conditions in the late 19th century, especially in agriculture, 1873–1896, a period now referred to as the Long Depression.^ Labels: economic crisis , economics , Great Depression .

^ The appeal was long-term and continued for years after the Great Depression ended.
  • Archival Resources on the Great Depression 27 January 2010 23:58 UTC www.ou.edu [Source type: FILTERED WITH BAYES]

^ Labels: economic crisis , Great Depression .

[83]
.The fall of communism in the Soviet Union led to a severe economic crisis and catastrophic fall in the standards of living in the 1990s in the former Eastern Bloc, most notably, in post-Soviet states,[84] that was almost twice as intense as the Great Depression had been in the countries of Western Europe and the United States in the 1930s.^ Labels: economic crisis , economics , Great Depression .

^ Something has been lost in this great country which we live.

^ The Great Depression accomplished several goals.
  • FSK's Guide to Reality: The Federal Reserve Caused the Great Depression 27 January 2010 23:58 UTC fskrealityguide.blogspot.com [Source type: General]

[85][86] .Even before Russia's financial crisis of 1998, Russia's GDP was half of what it had been in the early 1990s,[86] and some populations are still poorer as of 2009 than they were in 1989, including Ukraine, Moldova, Serbia, Central Asia, Caucasus.^ Now, major states, such as Italy, have public debt of more than 100 percent of GDP even before the crisis, rendering major state bankruptcies a real danger.
  • Op-ed: It Can Be Worse than the Great Depression 27 January 2010 23:58 UTC www.petersoninstitute.org [Source type: Academic]

^ As you mentioned, financial markets are more thoroughly regulated today than they were in the ’20s.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

^ They know if the banks fail then the assetts will be reevaluated or sold and then it will be discovered that the assetts of our banks are even less than thought.
  • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

People have been taking to calling the current economic recession the "Great Recession".[87][88][89][90]

See also

References

  1. ^ a b c d e f Great Depression, Encyclopaedia Britannica
  2. ^ Charles Duhigg, "Depression, You Say? Check Those Safety Nets," New York Times, March 23, 2008
  3. ^ a b Frank, Robert H.; Bernanke, Ben S. (2007). Principles of Macroeconomics (3rd ed.). Boston: McGraw-Hill/Irwin. p. 98. ISBN 0073193976. 
  4. ^ "Commodity Data". US Bureau of Labor Statistics. http://www.bls.gov/data/. Retrieved 2008-11-30. 
  5. ^ Cochrane, Willard W. (1958). Farm Prices, Myth and Reality. pp. 15. 
  6. ^ "World Economic Survey 1932–33". League of Nations: 43. 
  7. ^ Mitchell, Depression Decade
  8. ^ a b Great Depression and World War II. The Library of Congress.
  9. ^ Economics focus: The Great Depression The Economist
  10. ^ Schultz, Stanley K. (1999). "Crashing Hopes: The Great Depression". American History 102: Civil War to the Present. University of Wisconsin–Madison. http://us.history.wisc.edu/hist102/lectures/lecture18.html. Retrieved 2008-03-13. .
  11. ^ "1998/99 Prognosis Based Upon 1929 Market Autopsy". Gold Eagle. http://www.gold-eagle.com/editorials_98/vronsky060698.html. Retrieved 2008-05-22. .
  12. ^ Hamilton, James (1987), "Monetary Factors in the Great Depression", Journal of Monetary Economics 19 (2): 145–169, doi:10.1016/0304-3932(87)90045-6 .
  13. ^ a b c When Did the Great Depression Receive Its Name? (And Who Named It?), 2-16-09, by Noah Mendel, History News Network
  14. ^ The Glory and the Dream: A Narrative History of America, 1932–1972, William Manchester
  15. ^ Klein, Lawrence R. (1947), The Keynesian Revolution, New York: Macmillan, pp. 56–58, 169, 177–79 ; Rosenof, Theodore (1997), Economics in the Long Run: New Deal Theorists and Their Legacies, 1933–1993, Chapel Hill: University of North Carolina Press, ISBN 0807823155 .
  16. ^ "The World in Depression". Mount Holyoke College. http://www.mtholyoke.edu/acad/intrel/depress.htm. Retrieved 2008-05-22. 
  17. ^ a b c Fisher, Irving (October 1933). "The Debt-Deflation Theory of Great Depressions". Econometrica 1 (4): 337–357. doi:10.2307/1907327. 
  18. ^ Fortune, Peter (Sept-Oct, 2000). "Margin Requirements, Margin Loans, and Margin Rates: Practice and Principles - analysis of history of margin credit regulations - Statistical Data Included". New England Economic Review. http://findarticles.com/p/articles/mi_m3937/is_2000_Sept-Oct/ai_80855422/pg_5. 
  19. ^ a b "Bank Failures". Living History Farm. http://www.livinghistoryfarm.org/farminginthe30s/money_08.html. Retrieved 2008-05-22. 
  20. ^ "Friedman and Schwartz, Monetary History of the United States", 352
  21. ^ Bernanke, Ben S (June 1983). "Non-Monetary Effects of the Financial Crisis in the Propagation of the Great Depression". The American Economic Review (The American Economic Association) 73 (3): 257–276. http://links.jstor.org/sici?sici=0002-8282%28198306%2973%3A3%3C257%3ANEOTFC%3E2.0.CO%3B2-0&origin=repec. 
  22. ^ Mishkin, Fredric (December 1978). "The Household Balance and the Great Depression". Journal of Economic History 38: 918–37. 
  23. ^ Bernanke, Ben S. (2000). Essays on the Great Depression. Princeton University Press. p. 7. ISBN 0691016984. 
  24. ^ "Bernanke: Federal Reserve caused Great Depression". WorldNetDaily. http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=59405. Retrieved 2008-03-21. 
  25. ^ A Monetary History of the United States. 
  26. ^ Krugman, Paul (2007-02-15). "Who Was Milton Friedman?". The New York Review of Books. http://www.nybooks.com/articles/19857. Retrieved 2008-05-22. 
  27. ^ Griffin, G. Edward (2002). The Creature from Jekyll Island: A Second Look at the Federal Reserve. American Media (publisher). ISBN 978-0912986395. 
  28. ^ Freidel, Franklin D. Roosevelt: Launching the New Deal (1973) ch 19; text
  29. ^ Kehoe, Timothy J.; Prescott, Edward C. (2007). Great Depressions of the Twentieth Century. Federal Reserve Bank of Minneapolis. 
  30. ^ Rothbard 2002, p. 25
  31. ^ Dorfman 1959
  32. ^ Allgoewer, Elisabeth (May 2002). "Underconsumption theories and Keynesian economics. Interpretations of the Great Depression". Discussion paper no. 2002–14. http://www.vwa.unisg.ch/RePEc/usg/dp2002/dp0214allgoewer_ganz.pdf. 
  33. ^ The Road to Plenty (1928)
  34. ^ Per-capita GDP data from MeasuringWorth: What Was the U.S. GDP Then?
  35. ^ Gauti B. Eggertsson, “Great Expectations and the End of the Depression,” American Economic Review 98, No. 4 (Sep 2008): 1476–1516;
  36. ^ “Was the New Deal Contractionary?” Federal Reserve Bank of New York Staff Report 264, Oct 2006, http://www.newyorkfed.org/research/staff_reports/sr264.html; Eggertsson and Benjamin Pugsley, “The Mistake of 1937: A General Equilibrium Analysis,” Monetary and Economic Studies 24, No. S-1 (Dec 2006), http://www.imes.boj.or.jp/english/publication/mes/2006/abst/me24-s1-8.html.
  37. ^ William E. Leuchtenburg, Franklin D. Roosevelt and the New Deal (1963) p. 262-63
  38. ^ Romer, Christina D., "What Ended the Great Depression", Journal of Economic History, December 1992, vol 52, num 4, pages 757–784 [1] "monetary development were crucial to the recovery implies that self-correction played little role in the growth of real output"
  39. ^ Ben Bernanke. Essays on the Great Depression. Princeton University Press. ISBN 978-0-691-01698-6. p. 7
  40. ^ Ben S. Bernanke, “Nonmonetary Effects of the Financial Crisis in the Propaga-tion of the Great Depression,” The American Economic Review 73, No. 3 (Jun 1983): 257–76, available from the St. Louis Federal Reserve Bank collection at http://fraser.stlouisfed.org/meltzer/record.php?collection_references_id=4271.
  41. ^ Ben S. Bernanke, “The Macroeconomics of the Great Depression: A Comparative Approach,” Journal of Money, Credit, and Banking 27, No. 1 (February 1995): 1–28.
  42. ^ Harold L. Cole and Lee E. Ohanian, “New Deal Policies and the Persistence of the Great Depression: A General Equilibrium Analysis,” Journal of Political Economy 112, No. 4 (Aug 2004): 779–816; and idem, “How Government Prolonged the Depression: Policies that decreased competition in product and labor markets were especially destructive,” Wall Street Journal, Feb 2, 2009, p. A17, available from http://online.wsj.com/article/SB123353276749137485.html.
  43. ^ Bordo, Michael D., Gold Standard, http://www.econlib.org/library/Enc/GoldStandard.html .
  44. ^ Eichengreen, Barry (1992), Golden Fetters: The Gold Standard and the Great Depression, 1919-1939, New York: Oxford University Press, ISBN 0195064313 .
  45. ^ International data from Maddison, Angus, Historical Statistics for the World Economy: 1–2003 AD, http://www.ggdc.net/Maddison/Historical_Statistics/ . Gold dates culled from historical sources, principally Eichengreen, Barry (1992), Golden Fetters: The Gold Standard and the Great Depression, 1919-1939, New York: Oxford University Press, ISBN 0195064313 .
  46. ^ Bernanke, Ben (March 2, 2004). "Remarks by Governor Ben S. Bernanke: Money, Gold and the Great Depression". At the H. Parker Willis Lecture in Economic Policy, Washington and Lee University, Lexington, Virginia. http://www.federalreserve.gov/boarddocs/speeches/2004/200403022/default.htm. 
  47. ^ Referring to the effect of World War II spending on the economy, economist John Kenneth Galbraith said, "One could not have had a better demonstration of the Keynesian ideas." Daniel Yergin, William Cran (writers / producer),. (2002). Commanding Heights, see chapter 6 video or transcript. [TV documentary]. US: PBS. 
  48. ^ Romer, Christina D. (1992), "What Ended the Great Depression?", Journal of Economic History 52 (4): 757–784, doi:10.1017/S002205070001189X, "fiscal policy was of little consequence even as late as 1942, suggests an interesting twist on the usual view that World War II caused, or at least accelerated, the recovery from the Great Depression." 
  49. ^ Depression & WWII. Americaslibrary.gov.
  50. ^ Is today's economic crisis another Great Depression?, By John Waggoner, USA TODAY, 11/3/2008
  51. ^ A Century of Change in the Australian Labour Market, Australian Bureau of Statistics
  52. ^ 1929–1939 – The Great Depression, Source: Bank of Canada
  53. ^ Why did Canada Refuse to Admit Jewish Refugees in 1930s?, Claude Bélanger, Department of History, Marianopolis College
  54. ^ About the Great Depression, University of Illinois
  55. ^ "Weimar Republic and the Great Depression"
  56. ^ Germany - Economic, Public Broadcasting Service (PBS).
  57. ^ Myung Soo Cha, "Did Takahashi Korekiyo Rescue Japan from the Great Depression?," The Journal of Economic History 63, No. 1 (Mar 2003): 127–44.
  58. ^ (For more on the Japanese economy in the 1930s see "MITI and the Japanese Miracle" by Chalmers Johnson)
  59. ^ E. H. Kossmann, The Low Countries: 1780–1940 (1978)
  60. ^ The Dust Bowl, Geoff Cunfer, Southwest Minnesota State University
  61. ^ The Forsaken: From the Great Depression to the Gulags: Hope and Betrayal in Stalin's Russia, The Sunday Times, July 27, 2008
  62. ^ The Great Depression and the 1930S, Federal Research Division of the Library of Congress
  63. ^ The Forsaken: An American Tragedy in Stalin's Russia, by Timotheos Tzouliadis
  64. ^ Orest Subtelny. Ukraine: a history. University of Toronto Press. 2000. ISBN 9780802083906 p. 416
  65. ^ Unemployment During The Great Depression, thegreatdepression.co.uk
  66. ^ Cook, Chris and Bewes, Diccon; What Happened Where: A Guide To Places And Events In Twentieth-Century History p. 115; Routledge, 1997 ISBN 1-85728-533-6
  67. ^ Work camps that tackled Depression, BBC News
  68. ^ The Great Depression (1929–1939), The Eleanor Roosevelt Papers
  69. ^ Waren, Herbert Hoover and the Great Depression
  70. ^ "Smoot-Hawley Tariff", U.S. Department of State.
  71. ^ "Reconstruction Finance Corporation", EH.net Encyclopedia.
  72. ^ Joseph Swanson, and Samuel Williamson, "Estimates of national product and income for the United States economy, 1919–1941," Explorations in Economic History 10 (1972) pp 53–73
  73. ^ Great Depression. The Concise Encyclopedia of Economics.
  74. ^ "Great Depression in the United States", Microsoft Encarta. Archived 2009-10-31.
  75. ^ "The Great Depression and New Deal" by Joyce Bryant, Yale-New Haven Teachers Institute.
  76. ^ National Park History: “The Spirit of the Civilian Conservation Corps”
  77. ^ The Great Depression, Robert Goldston, Fawcett Publications, 1968, page 228
  78. ^ Economic Fluctuations, Maurice W. Lee, Chairman of Economics Dept., Washington State College, published by R. D. Irwin Inc, Homewood, Illinois, 1955, page 236.
  79. ^ Business Cycles, James Arthur Estey, Purdue Univ., Prentice-Hall, 1950, pages 22–23 chart.
  80. ^ Maurice W. Lee, 1955
  81. ^ Schlesinger, Jr., Arthur M. The Coming of the New Deal: 1933–1935. Paperback ed. New York: Houghton Mifflin, 2003. (First published in 1958) ISBN 0-618-34086-6; Schlesinger, Jr., Arthur M. The Politics of Upheaval: 1935–1936. Paperback ed. New York: Houghton Mifflin, 2003. (First published in 1960) ISBN 0-618-34087-4
  82. ^ Lanny Ebenstein, Milton Friedman: A Biography (2007)
  83. ^ Fletcher, T. W. (1961), "The Great Depression of English Agriculture 1873–1896", The Economic History Review 13 (3): 417–432, doi:10.2307/2599512 .
  84. ^ Child poverty soars in eastern Europe, BBC News, October 11, 2000
  85. ^ See “What Can Transition Economies Learn from the First Ten Years? A New World Bank Report,” in Transition Newsletter (http://worldbank.org/transitionnewsletter/janfeb2002). [2]
  86. ^ a b Who Lost Russia?, New York Times, October 8, 2000
  87. ^ Rampell, Catherine (March 11, 2009), "‘Great Recession’: A Brief Etymology", New York Times, http://economix.blogs.nytimes.com/2009/03/11/great-recession-a-brief-etymology/ 
  88. ^ Gibbs, Nancy (April 15, 2009), "The Great Recession: America Becomes Thrift Nation", Time Magazine, http://www.time.com/time/nation/article/0,8599,1891527,00.html 
  89. ^ Krugman, Paul (March 20, 2009), "The Great Recession versus the Great Depression", New York Times, http://krugman.blogs.nytimes.com/2009/03/20/the-great-recession-versus-the-great-depression/ 
  90. ^ Lahart, Justin (July 28, 2009), "The Great Recession: A Downturn Sized Up", Wall Street Journal, http://online.wsj.com/article/SB124874235091485463.html .

Further reading

.
  • Ambrosius, G. and W. Hibbard, A Social and Economic History of Twentieth-Century Europe (1989)
  • Bernanke, Ben (1995).^ Bernanke, Ben S. “Nonmonetary Effects of the Financial Crisis in the Propagation of the Great Depression.” American Economic Review 73, no.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ^ Had these important ingredients of the pre-World War I gold standard been present during the interwar period, twentieth-century economic history may have been very different.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ."The Macroeconomics of the Great Depression: A Comparative Approach".^ For the millions of people this affects, that’s bad news — but it’s hardly comparable to the Great Depression of the 1930s, when more than 25% were unemployed, over 50% in some regions.
    • Ezra Levant: Don't believe the Great Depression hype - Full Comment 3 February 2010 18:47 UTC network.nationalpost.com [Source type: General]

    ^ He tried to borrow and spend, he tried to use the Keynesian approach, and our country ended up in a Great Depression.
    • Think Progress » Rep. Steve Austria: FDR caused the Great Depression. 27 January 2010 23:58 UTC thinkprogress.org [Source type: General]

    ^ We have it easy right now compared to what the Great Depression of the 20’s & 30’s was.

    .Journal of Money, Credit, and Banking 27 (1): 1–28. doi:10.2307/2077848.^ When they finally started pumping money (credit) back into the system, the banks were too nervous to lend, and there were few borrowers with credentials to borrow.
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ^ Sure my salary could be 10% less, but when housing prices are 50% less I will have more money in my bank account after I pay my mortgage.
    • Daily Kos: The worst housing slump since the Great Depression? 3 February 2010 18:47 UTC www.dailykos.com [Source type: General]

    ^ The Exchange Rate and the International Transmission of Business Cycle Disturbances: Some Evidence from the Great Depression.” Journal of Money, Credit, and Banking 12, no.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    JSTOR 2077848. http://fraser.stlouisfed.org/docs/meltzer/bermac95.pdf. 
  • Brown, Ian. .The Economies of Africa and Asia in the inter-war depression (1989)
  • Davis, Joseph S., The World Between the Wars, 1919–39: An Economist's View (1974)
  • Eichengreen, Barry.^ But I survived the depression and combat in World War II. After that magnificent sequence of events, in one lifetime, there is nothing that is frightening, nothing, zero, zilch, notta.
    • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

    ^ Agriculture was still a huge factor in the U.S. economy of the period between the world wars.
    • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

    ^ I knew then and later after World War II people who said that the best of times was the depression and "why was there so much fuss?".
    • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

    .Golden fetters: The gold standard and the Great Depression, 1919–1939. 1992.
  • Eichengreen, Barry, and Marc Flandreau; The Gold Standard in Theory and History 1997 online version
  • Feinstein.^ This theory was articulated by economist Murray Rothbard in his book America’s Great Depression.
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ^ Eichengreen (1992) concludes further that what made the pre-World War I gold standard so successful was absent during the interwar period: credible commitment to the gold standard activated through international cooperation in its implementation and management.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ^ Whle they were doing that, a minority of economists–myself included–were avidly developing both Fisher and Minsky’s theories of Great Depressions.
    • Bernanke an Expert on the Great Depression?? | Steve Keen's Debtwatch 3 February 2010 18:47 UTC www.debtdeflation.com [Source type: General]

    .Charles H. The European economy between the wars (1997)
  • Friedman, Milton and Anna Jacobson Schwartz.^ Milton Friedman and Anna Schwartz, in their 1963 book A Monetary History of the United States, 1867–1960 , call this massive drop in the supply of money “The Great Contraction.” .
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ^ Milton Friedman and Anna Jacobson Schwartz, A Monetary History of the United States, 1867-1960 (New York: National Bureau of Economic Research, 1963; ninth paperback printing by Princeton University Press, 1993), pp.
    • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

    ^ By the way, cutting the link between gold and money was also something which Milton Friedman recommended and which governments and central bankers later followed.
    • Lionel Robbins: The Great Depression - Mises.org Updates - Mises Economics Blog 3 February 2010 18:47 UTC blog.mises.org [Source type: FILTERED WITH BAYES]

    .A Monetary History of the United States, 1867–1960 (1963), monetarist interpretation (heavily statistical)
  • Galbraith, John Kenneth, The Great Crash, 1929 (1954)
  • Garraty, John A., The Great Depression: An Inquiry into the causes, course, and Consequences of the Worldwide Depression of the Nineteen-Thirties, as Seen by Contemporaries and in Light of History (1986)
  • Garraty John A. Unemployment in History (1978)
  • Garside, William R. Capitalism in crisis: international responses to the Great Depression (1993)
  • Goldston, Robert, The Great Depression: The United States in the Thirties (1968)
  • Haberler, Gottfried.^ Labels: economic crisis , economics , Great Depression .

    ^ It alone was not the cause of the Great Depression.
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ^ The '29 Crash was not the cause of the Great Depression.
    • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

    .The world economy, money, and the great depression 1919–1939 (1976)
  • Hall Thomas E. and J. David Ferguson.^ "The Great Depression was the worst economic slump ever in U.S. history, and one which spread to virtually all of the industrialized world.
    • Mike Whitney: The Second Great Depression 12 January 2010 1:55 UTC www.counterpunch.org [Source type: General]

    ^ If the world as a whole is suffering from the Great Depression II, OPEC too must be prepared to share the pain and to confirm their solidarity with the rest of the people.
    • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

    ^ Comment posted on September 19th, 2008 at 9:21 pm by mercedes Y The Great Depression was caused by the Federal Reserve’s act of inflating the money supply.
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    .The Great Depression: An International Disaster of Perverse Economic Policies (1998)
  • Kaiser, David E. Economic diplomacy and the origins of the Second World War: Germany, Britain, France and Eastern Europe, 1930–1939 (1980)
  • Keynes, John Maynard.^ The markets quickly and ruthlessly eliminated all of the economic factors, but they would have to smash governments and bring on WW-II before they could force the elimination of the worst of the political policy blunders that caused the Great Depression.
    • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

    ^ Assignment 1a: To understand the Great Depression, we must understand the enormous economic, social, and cultural dislocations that had their origin in the 1920s.

    ^ "The Great Depression was the worst economic slump ever in U.S. history, and one which spread to virtually all of the industrialized world.
    • Mike Whitney: The Second Great Depression 12 January 2010 1:55 UTC www.counterpunch.org [Source type: General]

    ."The World's Economic Outlook," Atlantic (May 1932), online edition
  • Kindleberger, Charles P. The World in Depression, 1929–1939 (1983)
  • Gernot Kohler and Emilio José Chaves (Editors) “Globalization: Critical Perspectives” Haupauge, New York: Nova Science Publishers (http://www.novapublishers.com/) ISBN 1-59033-346-2. With contributions by Samir Amin, Christopher Chase Dunn, Andre Gunder Frank, Immanuel Wallerstein
  • League of Nations, World Economic Survey 1932–33 (1934)
  • Madsen, Jakob B. "Trade Barriers and the Collapse of World Trade during the Great Depression", Southern Economic Journal, Southern Economic Journal 2001, 67(4), 848–868 online at JSTOR
  • Donald Markwell, John Maynard Keynes and International Relations: Economic Paths to War and Peace, Oxford University Press (2006).
  • Mitchell, Broadus.^ Labels: economic crisis , economics , Great Depression .

    ^ DEPRESSION, 1929 TO 1939.
    • THE GREAT DEPRESSION! 27 January 2010 23:58 UTC www.rinfret.com [Source type: Original source]

    ^ Labels: economic crisis , Great Depression .

    .Depression Decade: From New Era through New Deal, 1929–1941 (1947), 462pp; thorough coverage of the U.S..^ This children's story book takes a look at the Great Depression era of the United States through the eyes of children, explaining a difficult topic in a way a child can understand.
    • Great Depression - Lulu.com 27 January 2010 23:58 UTC www.lulu.com [Source type: General]

    ^ FDR and the Supreme Court A detailed study of the "court packing" episode of 1936-37 and the development of American judiciary during the Depression/New Deal.
    • The Depression - Associated Content - Topic - associatedcontent.com 20 September 2009 12:41 UTC www.associatedcontent.com [Source type: General]

    ^ A better understanding of the Depression and the New Deal can be had through a good understanding of the pains of the birth of industrial society.
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    economy
  • .
  • Mundell, R. A. "A Reconsideration of the Twentieth Century," The American Economic Review Vol.^ Evidence from the Commodity Futures Market.” American Economic Review 82, no.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ^ Fiscal Policy in the Thirties: A Reappraisal.” American Economic Review 46, no.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    ^ Bernanke, Ben S. “Nonmonetary Effects of the Financial Crisis in the Propagation of the Great Depression.” American Economic Review 73, no.
    • EH.Net Encyclopedia: An Overview of the Great Depression 27 January 2010 23:58 UTC eh.net [Source type: FILTERED WITH BAYES]

    90, No. 3 (Jun., 2000), pp. 327–340 online version
  • Rothermund, Dietmar. .The Global Impact of the Great Depression (1996)
  • Tausch, Arno, with Christian Ghymers.^ Many volumes have been written about the Great Depression of 1929-1941 and its impact on the lives of millions of Americans.
    • Great Myths of the Great Depression | Foundation for Economic Education 27 January 2010 23:58 UTC fee.org [Source type: FILTERED WITH BAYES]

    ^ The UN must be made strong enough to act globally for dealing with the Great Depression II, chalking out the area of international cooperation.
    • Lessons for Today: Bank Panics and the Great Depression - Real Time Economics - WSJ 12 January 2010 1:55 UTC blogs.wsj.com [Source type: FILTERED WITH BAYES]

    ^ This is the worst global asset bubble and financial panic since the Great Depression of 1929–33.
    • Op-ed: It Can Be Worse than the Great Depression 27 January 2010 23:58 UTC www.petersoninstitute.org [Source type: Academic]

    "From the “Washington” towards a “Vienna Consensus”? .A quantitative analysis on globalization, development and global governance". Hauppauge, N.Y.: Nova Science Publishers, 2007 (for info: https://www.novapublishers.com/catalog/).
  • Tausch, Arno and Almas Heshmati (Eds.^ Try http://www.fashionfantasygame.com .
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ^ "Understanding the Great Depression & the Modern Business Cycle" by Dan Blatt - Publisher of FUTURECASTS online magazine - initially available from the printer at http://www.lulu.com .
    • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

    ^ The website for American Seniors is: http://www.americanseniors.com .
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ) "Roadmap to Bangalore? Globalization, the EU’s Lisbon Process and the Structures of Global Inequality" Hauppauge, N.Y.: Nova Science Publishers, 2008, with contributions by Franco Modigliani et al. .(for info: https://www.novapublishers.com/catalog/).
  • Taylor, David A. Soul of a People: The WPA Writers' Project Uncovers Depression America.^ Try http://www.fashionfantasygame.com .
    • Yahoo! Answers » Blog Archive » Ask Mike: What Caused the Great Depression? 6 February 2010 13:46 UTC yanswersblog.com [Source type: General]

    ^ Snide Remarks - The Great Depression - www.ericdsnider.com - The Official Website of Eric D. Snider Eric D. Snider .
    • Snide Remarks - The Great Depression - www.ericdsnider.com - The Official Website of Eric D. Snider 12 January 2010 1:55 UTC www.ericdsnider.com [Source type: General]

    ^ "Understanding the Great Depression & the Modern Business Cycle" by Dan Blatt - Publisher of FUTURECASTS online magazine - initially available from the printer at http://www.lulu.com .
    • Great Depression, Depression mythology, Great Depression facts 27 January 2010 23:58 UTC www.futurecasts.com [Source type: FILTERED WITH BAYES]

    Hoboken, N.J.: Wiley & Sons, 2009.
  • Tipton, F. and R. Aldrich, An Economic and Social History of Europe, 1890–1939 (1987)
For US specific references, please see complete listing in the Great Depression in the United States article.

External links

.

Wiktionary

Up to date as of January 15, 2010

Definition from Wiktionary, a free dictionary

Contents

English

Proper noun

Singular
Great Depression
Plural
-
  1. (economics, business, finance) A major economic collapse that lasted from 1929 to 1940 in the US and a similar period in many other countries.

Translations

  • Icelandic: Kreppan mikla f.

See also

.
  • Wikipedia-logo.png Great Depression on Wikipedia.^ Murray Rothbard : America's Great Depression http://mises.org/rothbard/agd http://en.wikipedia.org/wiki/America%27s_Great_Depression focuses on causes ( Government Failure ), not solutions.
    • Great Depression (WebSeitz/wikilog) 27 January 2010 23:58 UTC webseitz.fluxent.com [Source type: FILTERED WITH BAYES]

    ^ The Great Depression , Wikipedia.
    • The Great Depression 27 January 2010 23:58 UTC econmacro.com [Source type: FILTERED WITH BAYES]

    ^ When you read words like those below on the Great Depression page of Wikipedia, there are some very scary parallels… .
    • Scary Similarities To The Great Depression - 16/09/2008 3 February 2010 18:47 UTC www.fool.co.uk [Source type: General]

    Wikipedia

Simple English

[[File:|thumb|Dorothea Lange's Migrant Mother shows poor children in California with their 32-year-old mother, Florence Owens Thompson. According to Lange, Thompson said "that they had been living on frozen vegetables from ... fields, and birds that the children killed. She had just sold the tires from her car to buy food. There she sat in that ... tent with her children ... around her, and seemed to know that my pictures might help her, and so she helped me.[1]]]

The Great Depression was the great economic crisis that is said to have been started because of the U.S. stock-market crash in 1929.[2] The prices on the Wall Street stock market fell a lot from October 24 to October 29, 1929. Many people lost their jobs. By 1932, 25–30% of people lost their jobs.[3] They became homeless and poor. This ended the wealth of the Roaring Twenties. Many people think that the Great Depression started on Black Tuesday, but Black Tuesday was just an underlying problem that would help cause the Depression.

From 1929-1932, the depression worsened. Many suspect that increased taxes on American citizens and the increased tariffs (taxes on countries which trade with the United States) worsened it. Economist Milton Friedman said that the Great Depression was worsened because the Federal Reserve printed out less money than usual.

When the Great Depression started, Herbert Hoover was the president of the United States, and as a result, he was blamed for it. People voted for a new president in 1932. His name was Franklin D. Roosevelt. Roosevelt got the government to pass many new laws and programs to help people who were hurt by the Great Depression. These programs were called the New Deal. One of these programs was the Civilian Conservation Corps or CCC. The CCC put many young men to work in the outdoors. The men were paid 1 dollar a week to work, and they got free food and shelter. Another one of these programs was called Social Security. Social Security gave old people a small income so they had money for things they needed. The Great Depression was really bad, but with everyone's help, it would get better. Between 1939 and 1944, more people had jobs again because of World War II, and the Great Depression came to an end.

Background

An important reason for the Great Depression was the Treaty of Versailles.[4] The Treaty of Versailles made the United States very rich. Britain and France both gave large amounts of money to the U.S., and Germany had to pay a great amount of money for the damage they had done in World War I. However, it was this wealth that began the stock market crash.

Even after the Wall Street Crash of 1929, people still had hope. John D. Rockefeller said that "These are days when many are discouraged. In the 93 years of my life, depressions have come and gone. Prosperity (wealth) has always returned (come back) and will again."[5] But soon the bad effects of the depression grew worse and worse. People lost jobs, money, and homes. There were reports that in Germany and the United States, there was great hunger, disease, and even starvation.

References

  1. "Dorothea Lange's "Migrant Mother" Photographs in the Farm Security Administration Collection: An Overview - Guides, Reference Aids, and Finding Aids (Prints andPhotographs ReadingRoom, Library of Congress)". loc.gov. http://www.loc.gov/rr/print/list/128_migm.html. Retrieved 13 May 2010. 
  2. "Great Depression — FactMonster.com". factmonster.com. http://www.factmonster.com/ce6/history/A0821657.html. Retrieved 13 May 2010. 
  3. "Great Depression (economy) -- Britannica Online Encyclopedia". britannica.com. http://www.britannica.com/EBchecked/topic/243118/Great-Depression. Retrieved 13 May 2010. 
  4. "German Economy in the 1920s". history.ucsb.edu. http://www.history.ucsb.edu/faculty/marcuse/classes/33d/projects/1920s/Econ20s.htm. Retrieved 13 May 2010. 
  5. Schultz, Stanley K. (1999). "Crashing Hopes: The Great Depression". American History 102: Civil War to the Present. University of Wisconsin–Madison. http://us.history.wisc.edu/hist102/lectures/lecture18.html. Retrieved 2008-03-13. .


Citable sentences

Up to date as of December 04, 2010

Here are sentences from other pages on Great Depression, which are similar to those in the above article.








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