9-19-08 The day the Truth was spoken.

[barnaby33]

Wasn’t the great depression caused by the excessive credit creation and liquidity driven mania of the 20’s? I suppose that was govt intervention as well.

The govt cannot create wealth, it can only re-distribute it. The great depression was a massive loss of confidence in the financial system, we are at that precipice once again. All the govt can do in this case is shift the cost from the banks to the taxpayer, it cannot magically make the risk go away. That is the fallacy of govt intervention.

Josh

[halftrojan]

Well, the government sure didn’t get us out of the Great Depression. Only thing that got us out of that mess was WWII.

[halftrojan]

Well, the government sure didn’t get us out of the Great Depression. Only thing that got us out of that mess was WWII.

[halftrojan]

Well, the government sure didn’t get us out of the Great Depression. Only thing that got us out of that mess was WWII.

[halftrojan]

Well, the government sure didn’t get us out of the Great Depression. Only thing that got us out of that mess was WWII.

[halftrojan]

Well, the government sure didn’t get us out of the Great Depression. Only thing that got us out of that mess was WWII.

[al_coda]

Maybe because government has their fingerprints all over this mess.

Creation of poorly regulated government sponsored entities that were allowed to be run by party hacks that took on enough bad debt to sink the whole financial system.

Creation of a centralized bank that has absolute control over the money supply and de facto control over interest rates and that used its authority to promote a global pyramid scheme in risky securitized debt and house-of-cards derivative schemes.

Is that enough government intervention for you or do you want more? Because there is plenty more where that came from. In fact, they might just ‘intervene’ us into a collapse of the dollar and the downgrading of the credit rating of U.S. debt.

[al_coda]

Maybe because government has their fingerprints all over this mess.

Creation of poorly regulated government sponsored entities that were allowed to be run by party hacks that took on enough bad debt to sink the whole financial system.

Creation of a centralized bank that has absolute control over the money supply and de facto control over interest rates and that used its authority to promote a global pyramid scheme in risky securitized debt and house-of-cards derivative schemes.

Is that enough government intervention for you or do you want more? Because there is plenty more where that came from. In fact, they might just ‘intervene’ us into a collapse of the dollar and the downgrading of the credit rating of U.S. debt.

[al_coda]

Maybe because government has their fingerprints all over this mess.

Creation of poorly regulated government sponsored entities that were allowed to be run by party hacks that took on enough bad debt to sink the whole financial system.

Creation of a centralized bank that has absolute control over the money supply and de facto control over interest rates and that used its authority to promote a global pyramid scheme in risky securitized debt and house-of-cards derivative schemes.

Is that enough government intervention for you or do you want more? Because there is plenty more where that came from. In fact, they might just ‘intervene’ us into a collapse of the dollar and the downgrading of the credit rating of U.S. debt.

[al_coda]

Maybe because government has their fingerprints all over this mess.

Creation of poorly regulated government sponsored entities that were allowed to be run by party hacks that took on enough bad debt to sink the whole financial system.

Creation of a centralized bank that has absolute control over the money supply and de facto control over interest rates and that used its authority to promote a global pyramid scheme in risky securitized debt and house-of-cards derivative schemes.

Is that enough government intervention for you or do you want more? Because there is plenty more where that came from. In fact, they might just ‘intervene’ us into a collapse of the dollar and the downgrading of the credit rating of U.S. debt.

[al_coda]

Maybe because government has their fingerprints all over this mess.

Creation of poorly regulated government sponsored entities that were allowed to be run by party hacks that took on enough bad debt to sink the whole financial system.

Creation of a centralized bank that has absolute control over the money supply and de facto control over interest rates and that used its authority to promote a global pyramid scheme in risky securitized debt and house-of-cards derivative schemes.

Is that enough government intervention for you or do you want more? Because there is plenty more where that came from. In fact, they might just ‘intervene’ us into a collapse of the dollar and the downgrading of the credit rating of U.S. debt.

[Veritas]

The great depression was created by a perfect storm of events, credit was just one of the main culprits. Here is another event that prolonged it well beyond what it should have been:

http://future.state.gov/when/timeline/1921_timeline/smoot_tariff.html

“The Smoot-Hawley Tariff was more a consequence of the onset of the Great Depression than an initial cause. But while the tariff might not have caused the Depression, it certainly did not make it any better. It provoked a storm of foreign retaliatory measures and came to stand as a symbol of the ‘beggar-thy-neighbor’ policies (policies designed to improve one’s own lot at the expense of that of others) of the 1930s. Such policies contributed to a drastic decline in international trade. For example, U.S. imports from Europe declined from a 1929 high of $1,334 million to just $390 million in 1932, while U.S. exports to Europe fell from $2,341 million in 1929 to $784 million in 1932. Overall, world trade declined by some 66% between 1929 and 1934. More generally, Smoot-Hawley did nothing to foster trust and cooperation among nations in either the political or economic realm during a perilous era in international relations.”

[Veritas]

The great depression was created by a perfect storm of events, credit was just one of the main culprits. Here is another event that prolonged it well beyond what it should have been:

http://future.state.gov/when/timeline/1921_timeline/smoot_tariff.html

“The Smoot-Hawley Tariff was more a consequence of the onset of the Great Depression than an initial cause. But while the tariff might not have caused the Depression, it certainly did not make it any better. It provoked a storm of foreign retaliatory measures and came to stand as a symbol of the ‘beggar-thy-neighbor’ policies (policies designed to improve one’s own lot at the expense of that of others) of the 1930s. Such policies contributed to a drastic decline in international trade. For example, U.S. imports from Europe declined from a 1929 high of $1,334 million to just $390 million in 1932, while U.S. exports to Europe fell from $2,341 million in 1929 to $784 million in 1932. Overall, world trade declined by some 66% between 1929 and 1934. More generally, Smoot-Hawley did nothing to foster trust and cooperation among nations in either the political or economic realm during a perilous era in international relations.”

[Veritas]

The great depression was created by a perfect storm of events, credit was just one of the main culprits. Here is another event that prolonged it well beyond what it should have been:

http://future.state.gov/when/timeline/1921_timeline/smoot_tariff.html

“The Smoot-Hawley Tariff was more a consequence of the onset of the Great Depression than an initial cause. But while the tariff might not have caused the Depression, it certainly did not make it any better. It provoked a storm of foreign retaliatory measures and came to stand as a symbol of the ‘beggar-thy-neighbor’ policies (policies designed to improve one’s own lot at the expense of that of others) of the 1930s. Such policies contributed to a drastic decline in international trade. For example, U.S. imports from Europe declined from a 1929 high of $1,334 million to just $390 million in 1932, while U.S. exports to Europe fell from $2,341 million in 1929 to $784 million in 1932. Overall, world trade declined by some 66% between 1929 and 1934. More generally, Smoot-Hawley did nothing to foster trust and cooperation among nations in either the political or economic realm during a perilous era in international relations.”

[Veritas]

The great depression was created by a perfect storm of events, credit was just one of the main culprits. Here is another event that prolonged it well beyond what it should have been:

http://future.state.gov/when/timeline/1921_timeline/smoot_tariff.html

“The Smoot-Hawley Tariff was more a consequence of the onset of the Great Depression than an initial cause. But while the tariff might not have caused the Depression, it certainly did not make it any better. It provoked a storm of foreign retaliatory measures and came to stand as a symbol of the ‘beggar-thy-neighbor’ policies (policies designed to improve one’s own lot at the expense of that of others) of the 1930s. Such policies contributed to a drastic decline in international trade. For example, U.S. imports from Europe declined from a 1929 high of $1,334 million to just $390 million in 1932, while U.S. exports to Europe fell from $2,341 million in 1929 to $784 million in 1932. Overall, world trade declined by some 66% between 1929 and 1934. More generally, Smoot-Hawley did nothing to foster trust and cooperation among nations in either the political or economic realm during a perilous era in international relations.”

[Author]

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