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[ex_lost_kit]

How Government Prolonged the Depression
Policies that decreased competition in product and labor markets were especially destructive.By HAROLD L. COLE and LEE E. OHANIAN

Comments

[ex_lost_kit]

Keep in mind that anti-trust applies to unions too. Legislation like that NRA purposely set up unionized industry cartels.

[ex_lost_kit]

No one says that Obama is trying to bring back the NRA.

What you do see a lot of is sloppy "we need stimulus because the New Deal beat the Depression" rhetoric. It's worth refuting.

[ex_lost_kit]

But once you concede that the New Deal wasn't based on unicorns and pixie dust, you might have to seriously consider that we emerged from the Depression despite the New Deal, not because of it.

The message is more than "don't create monopolies", it's "employ known economic ideas, don't just stupidly appeal to history." If we can agree on that, great.

[ex_lost_kit]

Are you kidding? The purpose of this article is to counter the "New Deal saved everyone!!" soundbite in order to bolster the argument for interventionist regulatory/fiscal policy. I mean, are you really feigning on how often this comes up? I could probably find dozens of instances of this in my inbox from the past few months.

[sinthrex]

There are all sorts of interesting things I can generate by cherry picking the period.

If I just used Real GDP for instance from 1929-1940, I might argue that everything must have been chocolates and roses by 1940.

It wasn't. That can be proven pretty well, but details muck up a good argument.

[spiffystuff]

I was under the impression it was WWII that finally kicked the depression :P

[txvoodoo]

SOUNDBITE? SOUNDBITE?

Jesus, I love it when people who've lived 20 years try and talk about how smart they are about history.

I have family who made it through the Depression thanks to WPA programs.

You are so ignorant.

[ex_lost_kit]

I have family who made it through the Depression thanks to WPA programs.

Wow, what an awesome argument in favor of national economic reform.

[txvoodoo]

Thank you for your UTTERLY substance-less response, YET AGAIN.

[ex_lost_kit]

Do I seriously need to explicate why national policy shouldn't be oriented around the interests of your family?

[txvoodoo]

Extrapolate from micro to macro, dude.