Krugman: "It’s 1930 time"

[MannyGoldstein]

From the Nobel Prize winner that DU loves to hate:

"Barry Eichengreen and Kevin O’Rourke have an alarming paper in Vox EU, showing that if you take a global view, the world slump since early 2008 is as bad or worse than the slump from 1929-30. It’s full of pictures like this one, showing monthly volume of world trade:



What this says is that the world economy right now is more or less at the point Keynes described in his essay The Great Slump of 1930.

What hasn’t happened — at least not yet — is any counterpart to the catastrophes of 1931: the wave of bank runs in the US, the failure of Credit Anstalt in Austria, and the great perverse response of central banks that was triggered by the death spasms of the gold standard.

What Eichengreen-O’Rourke show, it seems to me, is that knowledge is the only thing standing between us and Great Depression 2.0. It’s only to the extent that we understand these things a bit better than our grandfathers — and that we act on that knowledge — that we have any real reason to think this time will be better."

What a Gloomy Gus! Doesn't Krugman realize that if we just give another year of US GDP to bankers under "heads you win, tails we lose" rules then this will all work out for the best?

[KoKo]

1. Link please.....thanks...

[Earth Bound Misfit]

4. Google is your friend....

Let me google that for you...


:hi:

[Blue Meany]

2. I think we should wait until we are at 1933-levels of dispair

before actually doing anything to help those who are really in need.<sarcasm>

[msongs]

3. yeah but we ARE helping wall street with billions = kiss that $$ bye bye nt

[truedelphi]

8. It is not billions but trillions

If you were born the same day as Christ, and lived till now, and spent $ 100,000 a day, you still would not have spent a trillion dolalrs. The piper will want to be paid in terms of what Bush and obama have given away to the Wall Street Horde.

[TankLV]

11. and just think - the cost of the ILLEGAL Iraq WAR OF CHOICE BASED ON LIES is 4 TIMES that much!!!

[truedelphi]

13. I think of that all the time and especially whenever

The RW Repugs are up there saying how tight fisted THEY were with our monies. Damn Liars!

[bertman]

5. I'm just hoping that I can get a job being a personal slave, I mean servant, for one of

those bank CEO's or Wall Street financial wizards. Those will probably be the only "secure" jobs around. Other than security jobs protecting those assholes.

But today the NYT said that America is feeling all better about economic recovery, so we really don't have to worry about any of this depression stuff old Gloomy Gus keeps whining about.

[balantz]

9. Sadly, I'm too old and ugly for that (sarcasm).

[bertman]

10. Lately my sarcasm cup runneth over. My "I can't fuckin' believe it" cup, too.

[Zenlitened]

6. "...knowledge is the only thing standing between us and Great Depression 2.0"

"...knowledge is the only thing standing between us and Great Depression 2.0. It’s only to the extent that we understand these things a bit better than our grandfathers — and that we act on that knowledge — that we have any real reason to think this time will be better."

Shut-up-shut-up-shut-up!!!1

You must be a FreeperNaderitePumaLeftyTroll or something!!!11

:yoiks: :yoiks: :yoiks:

;)

[MannyGoldstein]

7. Ooops - Link Here

http://krugman.blogs.nytimes.com/2009/04/06/its-1930-time/

Sorry I forgot.

[Vidar]

12. Krugman, of course, is right, but we continue to reward the perpetrators.