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To: rabscuttle385

Unless it is defused it will not end well. Is someone trying to put us into a Great Depression?


10 posted on 03/16/2009 4:18:40 PM PDT by 1010RD (First Do No Harm)
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To: 1010RD

One of the biggest mistakes that pushed us into it was when we stifled free trade with other countries. In 1930 Congress passed the Smoot-Hawley Tariff Act. President Hoover signed it.

The act was meant to protect us from foreign competition. Tariffs would protect American workers and industries. They would keep us from shipping American jobs abroad. They would protect us from the ravages of globalization.

As soon as we erected tariffs, other countries retaliated. Our tariffs kept their products out. Theirs kept ours out. World trade shrunk like a prune overnight. The act was a disaster.

One year after Smoot Halley unemployment went from 7.8 to 16 percent. Next year it rose to 25 percent.


14 posted on 03/16/2009 4:30:32 PM PDT by ALPAPilot
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