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The Third Depression

Posted: 06-28-2010 01:31 AM
by Psychicwolf
Paul Krugman: The Third Depression
Recessions are common; depressions are rare. As far as I can tell, there were only two eras in economic history that were widely described as “depressions” at the time: the years of deflation and instability that followed the Panic of 1873 and the years of mass unemployment that followed the financial crisis of 1929-31.

Neither the Long Depression of the 19th century nor the Great Depression of the 20th was an era of nonstop decline — on the contrary, both included periods when the economy grew. But these episodes of improvement were never enough to undo the damage from the initial slump, and were followed by relapses.

We are now, I fear, in the early stages of a third depression. It will probably look more like the Long Depression than the much more severe Great Depression. But the cost — to the world economy and, above all, to the millions of lives blighted by the absence of jobs — will nonetheless be immense.


http://www.nytimes.com/2010/06/28/opini ... ugman.html

Posted: 06-28-2010 10:08 PM
by Linnea
Read the Krugman article, and also what wiki had on the 'long depression', or Panic of 1873. The problem then, as in what Krugman has been stating for some time now, was in not getting enough stimulus spending out into the economy Fiscal austerity shrank the economy beyond where it could recover in a reasonable manner.

Surely hope Krugman is being more pessimistic than conditions warrant here.
:(

The Dems have fought to ensure adequate stimulus funds, including help for states and communities - but are being blocked mostly by Repubs. What with so many other legislative issues to be addressed, there has not been enough enough push on this.

The recent blocking of extended unemployment benefits and aid to the states to assist with fiscal crises - a recent case in point.

Posted: 06-29-2010 09:38 AM
by Cherry Kelly
The reality is not the stimulus funds to help states, but the bailouts to big banks-etc. and the refusal of the Dems to remove those monster bailouts from the stimulus to help various States. As one Gop pointed out the big fanny/freddie was still paying huge salaries and bonuses instead of eliminating those and using the bailout to help the 'little people'.

One of the groups (Yes Tea Party group) had a speaker discussing the "bailout vs stimulus" bit and pointed out that many states receiving stimulus checks were not really using them appropriately. IE the monies were being used to keep a lot of programs going (payrolls) and not for things that were truly needed...jobs.

Posted: 08-10-2010 10:01 PM
by MickMack
I'm no expert , but I will quote Paul Hellyer :
So far , it's a war between the people of the earth and the bankers ...
and , so far , the bankers are winning , and , unless we take control of this issue ,
and do it very soon , millions of people are gonna live in misery ...

The solution is fairly simple ... The federal govs. worldwide owns the the patent to
create money ... But they gave it away
to privatly owned banks ... Sovereignty is what they have to exercise ... By taking back the sovereignty they exercise , they will
be able to print some money for the people ...

Did anyone get the Aug. 4th CTCam show !?!?

Posted: 08-17-2010 07:35 PM
by Captain Fantastic
In case you missed this...

Posted: 08-20-2010 11:52 PM
by cherry


Friends, haven't you any fish?

John 21