A Little Note on 1930's Economic Recovery
Note: this post is a reply to a comment by Silverfiddle. I had said:
Here is a chart of the GDP during the depression years:
You can see that the GDP fell disastrously during Hoover's term, and turned around almost immediately upon Roosevelt's taking office, only faltering in 1937, when Roosevelt was falsely convinced by conservatives that he had done enough to stimulate the economy. You can also see the gross falsity of the common Republican line that only World War II lifted the country out of the depression. Democratic policies produced almost continual upward progress, and by the time the war started the GDP was higher than it had been before the crash.
Here is another chart, of investment during the depression years:
Once again, you can see the same thing. Republican policies produced nothing but economic disaster, until the Democrats were able to take over, at which point the economy went up as fast as the Republicans brought it down, with the same exception, when Roosevelt briefly reverted to Republican notions of "fiscal responsibility."
Ever since, Republicans have tried to lie away the success of classic Democratic policies, while at the same time destroying Social Security, unemployment insurance, and all the banking regulations that prevented a new depression, until Reagan was able to do away with them, in an effort to destroy the evidence of Democratic success, no matter what damage it does to the American people.
I want to reinforce what I said in my comment: the only reason that we are not experiencing a total depression right now is that last time the Republicans had three years after the crash to keep making the problems worse, and this time they only had three months.
Sorry, Silverfiddle, those are the facts, not a bunch of cheesy taunts.
"And for your information (you are just about the only person here that doesn't know this) the economy began to recover virtually from the day FDR and the Democrats took over, and only faltered in 1937, when Republicans convinced Roosevelt that he had provided enough stimulus. As soon as he realized that was wrong, things turned up again."
To which Silverfiddle replied: "The bread lines must have been a sign of the recovery..."
I can't put illustrations in a comment, so I will post my reply here.Here is a chart of the GDP during the depression years:
You can see that the GDP fell disastrously during Hoover's term, and turned around almost immediately upon Roosevelt's taking office, only faltering in 1937, when Roosevelt was falsely convinced by conservatives that he had done enough to stimulate the economy. You can also see the gross falsity of the common Republican line that only World War II lifted the country out of the depression. Democratic policies produced almost continual upward progress, and by the time the war started the GDP was higher than it had been before the crash.
Here is another chart, of investment during the depression years:
Once again, you can see the same thing. Republican policies produced nothing but economic disaster, until the Democrats were able to take over, at which point the economy went up as fast as the Republicans brought it down, with the same exception, when Roosevelt briefly reverted to Republican notions of "fiscal responsibility."
Ever since, Republicans have tried to lie away the success of classic Democratic policies, while at the same time destroying Social Security, unemployment insurance, and all the banking regulations that prevented a new depression, until Reagan was able to do away with them, in an effort to destroy the evidence of Democratic success, no matter what damage it does to the American people.
I want to reinforce what I said in my comment: the only reason that we are not experiencing a total depression right now is that last time the Republicans had three years after the crash to keep making the problems worse, and this time they only had three months.
Sorry, Silverfiddle, those are the facts, not a bunch of cheesy taunts.
Comments
The federal government inflated the money supply in the 1930s and blew money like crazy, producing long-term double digit unemployment.
In fact, the federal reserve printing way too much money in the 1920's is what caused the crash. Laissez Fair Republicans are usually blamed, but you can't call it laissez fair, when your central bank is manipulating the money supply.
Government intervention created a bubble, and as we know, all bubbles must burst at some point.
We've been down this road before. FDR proved the Keynesians wrong. All that spending did nothing for the prosperity of the citizens.
The GDP chart shows just that. If government increases spending enough, GDP will rise.
in 1945-1946, millions came home, the rest of the industrialized world was rebuilding, and Truman lifted all the alphabet soup agencies and their economy-killing regulations. The economy took off.
Private industry drove the post-WWII boom, not government.
I have figured out already that your pathetic ego is more important to you than our country's survival, so you will never admit the plain truth. Fortunately, this blog doesn't exist for you, and I think other people can see what is going on here, if they get the evidence.