[palmer]

The federal government gave billions to banks in the 30's http://en.wikipedia.org/wiki/Reconstruction_Finance_Corporation which did not help recovery, probably delayed it for much the same reasons as today. The bank failures were from runs which were necessary, the banks themselves, as today, were not worth a dime.

Recovery after that was thwarted at that point by various policies including the Fed (as now) inflating. Quick deflation would have restored confidence in banks and gotten saving and lending working again. Adjustments in prices prior to the Great Depression were usually very quick thus recoveries were quick.

[Toddsterpatriot]

The federal government gave billions to banks in the 30's

Gave?

Recovery after that was thwarted at that point by various policies including the Fed (as now) inflating.

When did the Fed inflate?

Quick deflation would have restored confidence in banks and gotten saving and lending working again.

30% deflation wasn't enough? More would have been better?