The link below is an article written by Meg Sullivan, outlining the research done by two UCLA economists that argue Government Intervention makes recovery from a depressed economy worse, not better.
I found it pertinent to note now as the argument has never been more relevant. Certainly we are facing two different situations, and different circumstances. Unions and Corporations that played a role in the recovery from the Great Depression (or lack thereof) have been replaced by struggling job markets and credit strapped banks, but the central issue remains the same, will Government Intervention hurt or help our economy recover?
The Economists argue that FDR's New Deal policies led to increased labor wages, and increased unemployment, while the elimination of anti-trust prosecution led to collusion and an increase in the costs of goods of services.
If you aren't sure where you stand on the stimulus package, or the Government Intervention in the market this article is a good place to start. Clearly whatever happens, much care needs to taken to be sure that the Government does not in effect hinder the natural recovery process of the markets.
I'm reminded of a quote: "If we choose to ignore history, we are doomed to repeat it."
I am certainly not going to promise you any priceless wisdom on this issue, nor will I pretend to understand the economy to the point where I could sustain a coherent argument either way, but I find it interesting that once researched thoroughly, the Man credited for getting our Country out of it's largest economic crisis, may in fact have been responsible for prolonging it!
Use your voice, speak your mind, and follow your heart...
http://newsroom.ucla.edu/portal/ucla/FDR-s-Policies-Prolonged-Depression-5409.aspx?RelNum=5409
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