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By A Smith (anonymous) | Posted September 15, 2008 at 07:05:20
Geoff, I never said the Great Depression started in 1932, so I'm not sure why you made this assumption.
What I did say, was that a huge non-military spending increase was the cause of reduced output in the economy. My numbers in this case are from the BEA, and therefore reflect the US economy, but those are the only numbers I have to work with.
The greater point, is that all government actions produce an equal and opposite reaction.
Therefore, when government tries to help the people, which was the case with the huge increase in non military spending from 1929 to 1932, it actually produces more harm than good.
That is also why I am against government plans to revitalize neighborhoods, as they tend to backfire as well.
The best thing that government can do is stop trying to help people, sit back, collect a fat salary, and let the people figure things out for themselves.
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