by Carlhole » Tue 14 Oct 2008, 16:41:42
$this->bbcode_second_pass_quote('Plantagenet', 'I')ts a simple fact that the economy contracted AFTER the New Deal was in place. This contraction started in 1936 and culminated in 1937. It was very severe. FDR's new deal not only didn't stop the depression, it didn't even help keep unemployment from rising and GDP/GNP from falling as shown by the collapse of 1936-7.
It took WWII to end the US depression.
NO presidential policies alone could have delivered the nation from of the Depression. The depression was caused by
bad monetary policy - which is the province of the private Federal Reserve. The Fed had a tight money regimen back then - exactly the
opposite of what was needed.
Keynes' The General Theory was not published until 1936. Keynesian recommendations were only beginning to be felt in 1939 when war in Europe had become such a problem.
Hitler, who had such an intense hatred and distrust of financial jewry, had printed his own money. Germany did not use a private Central Bank. And Germany's rise out of the hyperinflation of the Weimar Republic and the ensuing severe Depression it shared with the rest of the word was widely admired at the time. Germany's economy had become a fearsome juggernaut at the height of the global Great Depression! Due to Hitler's debt repudiation, immense public works and especially his
monetary policy!!
We, here in America, at one time, used to issue our own currency. But we capitulated to the "English System" of monetary policy. The Fed took over in 1913. Is it a surprise that we had a rampant boom in the 20's and then a complete monetary mismanagement in the 30's?
The point is: Monetary policy both creates boom-bust cycles and races to provide solutions to them. This is not something that the Executive Branch can manage if it has abdicated the ability to issue its own money and given the right to private bankers who earn interest on the money they issue.
The government should not have to
PAY to issue money! The
people should control their money supply!
This is what Ron Paul, Peter Schiff, Lew Rockwell and all the rest of the economists of the Austrian School constantly bitch about. The Federal Reserve System seeks to enslave the people with debt, structural inflation and interminable boom-bust cycles.
"Let me control a peoples currency and I care not who makes their laws." -- Meyer Nathaniel Rothschild