Great Depression imminenet, not pre-ordained.

[DazedSpy2]

good vid

[parnellitube]

Big question in my mind about the recovery centers around the New Deal. Although the New Deal itself didn't jump start the economy, the war did. Having the government spend money in excess of GDP is conterintuitive for a conservative mind like mine, but it seems to have worked. I know the Army Corps of Engineers has identified some dangerous dams in need of repair. I'd be tempted to say let's get some huge public works projects going, but the government is in more debt than ever. Hmmmmm...

[arimamiyazawa]

F-Cam - MSG me on MSN. ID is in my profile. c

[james92power]

i think the causes are similar to the panic of 1819 (with some modern exeptions) but the governments response is more socialist or more keynesian

[u4prez]

Monroe and secretary of Treasury Crawford did support a similar "bailout" so in that respect, good call. It would be interesting to see if congress reads a bit of history and decides after the election to overturn the bailout.

[GeorgiaFrawg]

A couple things I've noticed:

-Many (if not most) of the subprime lenders weren't banks and weren't bound by the CRA.

-Hoover's (and later FDR's) response to the depression was mainly concerned with maintaining price levels, not necessarily injecting credit. According to Friedman, the government didn't inject enough liquidity because raising interest rates in the '30s and then not lowering them enough (though overly easy money did help cause the depression).

-re welfare: think workfare

Not bad

[u4prez]

Strong and Norman expanded credit in the 1920's prolonging the speculative bubble. Bailout wasn't identical, but Hoover did attempt to inject big money in to the banking system, and Roosevelt injected money (credit) in to public works projects. (probably sounds familiar to Obama supporters).