Debunking A Popular Phrase

One of the phrases that I have heard innumerable times is that our current period of economic weakness “isn’t as bad as The Great Depression because during The Great Depression unemployment was at 25%.” While I have commented repeatedly on this blog that I don’t believe we should be equating our current economic condition to that of …

Read moreDebunking A Popular Phrase

Another Mention of The Great Depression

On July 26th Ben Bernanke said, “”I was not going to be the Federal Reserve chairman who presided over the second Great Depression.”  The quote and associated details can be found here: http://online.wsj.com/article/SB124865498517982625.html I found the quote interesting primarily as it once again underscores the popularity (or should I say fixation) that many people, including …

Read moreAnother Mention of The Great Depression

Comparing The Great Depression To Our Current Economic Situation

In previous posts I have spoken of the comparisons between our current period of economic weakness and that of The Great Depression.  Those posts were on June 22 and June 15, and can be found at these links: https://www.economicgreenfield.com/2009/06/22/are-we-avoiding-a-depression/ https://www.economicgreenfield.com/2009/06/15/great-depression-stock-charts-vs-our-current-period/ I would like to reiterate my view, seen in the above links, that although our current …

Read moreComparing The Great Depression To Our Current Economic Situation

The Concept of a “Super Depression”

Please note; some will find this post disturbing I would like to call your attention to the article titled “A S&P500 Target of 100?” which is found under the “Investor” heading here: https://www.economicgreenfield.com/prosperitybypencom-directory/ With the S&P500 currently at 893.72, I am sure that many will find the mere notion of the 100 level to be highly …

Read moreThe Concept of a “Super Depression”

How Can We Go Into a Depression?

As previously indicated, in this post: https://www.economicgreenfield.com/2009/06/19/current-economic-forecasts/ most mainstream economic forecasters as well as many other financial professionals believe that “the worst is behind us” as far as economic damage.   It certainly would be nice if this were the case. However, for a variety of reasons, I continue to believe that while it is possible that …

Read moreHow Can We Go Into a Depression?

Are We Avoiding a Depression?

Perhaps the most common refrain heard with regard to our current economic situation, and why it won’t become a Depression, is that we as a nation have been proactive and aggressive in “managing” this period of economic weakness. This theory, more or less, has the following generalized (and summarized) structure: There has been rigorous research conducted on the …

Read moreAre We Avoiding a Depression?

Are We In a Depression?

One of the questions that seems to be popular since the economic events of 2008 is whether we are in a Depression.  As such, for the next few posts I will be commenting on the topic. Here are two links that indicate that we are not in a Depression: http://seekingalpha.com/article/142831-great-depression-ii-it-s-not-even-close?source=email http://www.calculatedriskblog.com/2009/06/update-what-is-depression.html Yet, as indicated in this …

Read moreAre We In a Depression?

Great Depression Stock Charts vs Our Current Period

I’m sure everyone has seen the various charts depicting the stock market during The Great Depression to that of our recent period. The comparisons that I have seen show a definite visual resemblance, and perhaps that is what is attracting such attention, as these charts have proven very popular. From my perspective, I think that any resemblance …

Read moreGreat Depression Stock Charts vs Our Current Period