Posted on 08/09/2019 5:11:55 PM PDT by amorphous
“if they (the Fed) are aware that the actions they took in the 1920s triggered the Great Depression”
Not true. The Great Depression was a global phenomena, not an American one. It was caused by the collapse of the global reserve currency - the British Pound - after Socialists came to power in the UK.
The length and depth of the American Depression were definitely made worse by Fed policy of tight money/high rates though.
The Federal Reserve is a private entity.
Also, I would say it’s quite naive to think they don’t know what they’re doing. It’s intentional.
Not coherent enough.
There’s a lot of talk of ‘bubbles’ being caused by the Fed, and they play a role.
However, it is the misuse of the capital they freeup that causes the problems.
If the increased credit was used productively there would be no problem.
“What is dangerous is all the misplaced hype about it (trade war)”
There is a real risk of danger to the global economy, from a major financial/economic crash in China. China and Asian economies would be hardest hit, and Europe would take it harder than us, but almost everyone would feel some degree of slowing.
It was NOT J.P. alone, but Joe Kennedy was far worse and all out for himself; not to mention the fact that Kennedy was like Soros is today!
But even THE most wealthy, back in the '30s, felt the pinch! But prices, as well as salaries, fell during the Great Depression, as it ALWAYS did, for all of the other MAJOR depression, that hit the USA!
And that THREW THEMSELVES OUT OF THE WINDOW thing really is a much expanded upon MYTH! It needs to finally die!
Look, I KNOW this history cold! I loved to hear about what times were like before I was born, love looking at the photos, and one thing led to another, so I've read a LOT about this time period.
Would you like a book list?
True!
Their only source of food wasn't a grocery store. In the countryside many people still had horses and buggies. Most had their own water supply.
Trade was an acceptable form of commerce because many folks had no money. And speaking of commerce, it did not depend upon the availability of the Internet, or even the electrical grid. America manufactured what it needed back then, unlike today. And the dollar was backed by gold.
If something happens to destroy the value of the dollar, the electrical grid, the Internet, or the just-in-time supply chain, can you imagine the chaos which would ensue if something happens to any one of those?!
I don't think many want to imagine such. Most today are comfortable with their head in the sand and become upset at any suggestion to examine their surroundings.
If what we have in place today, was in place then, America would have been destroyed. The independent nature of the people of that time is what saved America then and allowed it to win a world war only a short decade later.
We are now far removed from that kind of independence.
“We are now far removed from that kind of independence.”
By design.
Unfortunately, it's the same central control, like over the money supply, which determines its use. For too many years now, the free market has been hobbled. In some areas, price of gold/silver only one, it no longer even exits.
Not the so-called robber barons and captains of industry. They increased their assets manyfold.
What led the Japanese to attack America at Perl Harbor?! When conditions are right, a single match can start a disastrous, far-reaching conflagration.
Possibly so. And what the author alludes to.
A great example of your point is the ‘housing bubble’. What a mess of government interference.
But the ‘dotcom bubble’ was purely the fault of investors misusing their credit.
Borrowing to buy Dutch Tulips is, I guess, the best example of my point.
Capital has to be invested to increase wealth. Otherwise we could let the government do the investing...
Good book and reference.
In 1928 and 1929 the Federal Reserve raised interest rates 4 times from 3.5 to 6 percent.
When the bank panic started the Federal Reserve did nothing to increase liquidity.
I’ve never seen any logical explanation of what they thought they were doing.
You are correct... it is past time to begin reigning in the money supply that was greatly expanded during the almost depression.... we have a very strong economy that can absorb this with minimum discomfort for all....as long as it is done slowly
And it's the government beasts history proves who have created the biggest disasters. That's not to say there haven't been private investor disasters, but mild by comparison, as per your examples.
Do you think there are insider shenanigans going on? I do.
I don't know how old you are, but you do NOT know what you're talking about at all!
"...off the grid"? GOOD LORD...many people had NO electricity at all! Have you never heard of the TVA? And you can't miss ( the net, air conditioning, nor a flush poddy )that you NEVER had!
The ONLY reason that "...America would be destroyed, if we had to go through that today", is because of the spoiled, cozzetted, and coddled SNOWFLAKES that are around today!
You’re getting warm.
Pleases stop posting about things you are befreft of factual knowledge of; you're embarrassing yourself !
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