A guest poster at naked capitalism puts forth the case that the present economic downturn is more severe than the Great Depression of the 1930s:
So even though the government’s spending on the “war” on the economic crisis dwarfs the amount spent on the New Deal, our economy is still stuck in the mud.
Given that the government has done so much, but we are still mired in a situation which in many ways is comparable to the Great Depression, it is not a very radical statement to say that the government is doing the wrong things to address the downturn.
I can’t honestly say whether the situation today is better, worse, or about the same as the Depression of the 1930s. I wasn’t there. Many of the things I’m seeing around me are eerily reminiscent of what I’ve heard about that period. For example, after graduating from law school my dad couldn’t get a job as a lawyer until several years after he’d passed the bar. Unpaid internships (which benefit the wealthy) were a commonplace way of getting your foot in the door.
I don’t think we can blame the actions of the last couple of years or even the last decade for the fix we’re in. We’ve been making this bed for the better part of the last forty years.
Read the whole thing. Pretty chilling stuff.