Economic cycles are natural part of capitalism. It is the idiotic attempts to abolish recessions is the real cause of huge bubbles which always end violently.
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What you state is so true.
I would like to highlight one difference between the post Great Depression/WW 2 era as opposed to the financial system between 1790-1939.
Prior to the post WW2 era the people running your financial & political systems would have multi year inflation and then multi year deflation.
The last multi year deflationary years were in the 1930’s, since that time period we’ve had 3 years of deflation.(1949, 1956, & 2009)
Another difference was they used to let banks go under and take their deposits with them, screwing in the process customers & businesses.
For example after the panic 1837, banks suspended specie redemption on paper bank notes for over a year.
Between 1930-1933 A bunch of banks went under, without any protection for most small depositors.My great grandfather (1882-1966) got 8 cents on the dollar and disliked Herbert Hoover, a guy he voted for in 1928 for the rest of his life.
We do it different now, we inflate and then inflate again.
Bad banks should be allowed to fail.
Ditto with any business.
Usual result is better banks and better corporations take up the slack.
It is like pruning dead wood. It actually encourages healthy growth.
Reason the economic recoveries are getting weaker is because the big government is an anchor in the form of heavy taxes and onerous regulations.
Government should not assume role of mother. That makes people dependent with less desire to improve themselves