"We're repeating the mistakes of 1930"

[WhiskeyGirl]

Seventy-nine years ago, unemployment stood at about 10%, even though the stock market was 40% above its low set in the crash a year earlier. As the calendar moved into 1931, the bottom fell out. Unemployment ultimately hit 25%, while the stock market lost 84% of its value.

Recovery stalled in 1930 due to several ill-advised moves on the part of the Federal Reserve and the Hoover administration. The Fed drained liquidity from the system and raised interest rates, while the president — albeit reluctantly — signed protectionist trade laws and hiked taxes. Those combined actions choked off any possible rebound and led to eight years of Depression.

I think it will be taxes, and an anti-American administration that causes the depression.

Where is the stimulus for Main Street?  Building the American economy?

Just more special interests, and spending and borrowing.  To much debt.

There doesn't seem to be any interest in the Obama administration to BUILD America for the folks on Main Street.

jmho

[WhiskeyGirl]

To much focus on paper money and not productivity.

I believe the nation will grow when we start making 'things' again - not paper profits on Wall Street, and building factories in foreign countries with American money.

[WhiskeyGirl]

"Eighty Years After the Great Crash -- 'Is It the '30s Again?' "

There are further concerns. Regardless of what you make of it politically, the fact remains that middle-class incomes have barely kept up with inflation for three decades.

The economy has been hollowed out: More and more jobs have moved overseas, and over the past two generations it has taken more and more debt to keep the economy growing.

And today real unemployment is at historic levels. The headline jobless figure tells only part of the story. When you add in the millions working part time because they can't find a full-time job, and those who have simply given up looking, the unemployed and underemployed account for one in six workers.

And that feeds into a housing crisis that is far from over. Indeed, it seems to be getting even worse. Mortgage defaults and pre-foreclosures are rising, not falling. That will bring yet more properties onto the market. And huge waves of mortgage resets are due over the next two years.

http://online.wsj.com/article/SB125581121032292239.html?mod=rss_Today's_Most_Popular

Welcome to the Obama/Biden Depression.

"We didn't know this would happen."

'...we have experts in the Great Depression...do they have conflicting interests?'

Anyone worried about Main Street?