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Counting chickens…

September 29, 2010

I read this and thought “surely he didnt…”

President Obama “proud of saving economy from second depression”

Ever look at the timing between the 1929 crash, FDR’s “help” and the actual Great Depression? UCLA economists had a theory in 2004 – seems to have been overlooked so let’s drag it out again:

After scrutinizing Roosevelt’s record for four years, Harold L. Cole and Lee E. Ohanian conclude in a new study that New Deal policies signed into law 71 years ago thwarted economic recovery for seven long years.

“Why the Great Depression lasted so long has always been a great mystery, and because we never really knew the reason, we have always worried whether we would have another 10- to 15-year economic slump,” said Ohanian, vice chair of UCLA’s Department of Economics. “We found that a relapse isn’t likely unless lawmakers gum up a recovery with ill-conceived stimulus policies.”

In the three years following the implementation of Roosevelt’s policies, wages in 11 key industries averaged 25 percent higher than they otherwise would have done, the economists calculate. But unemployment was also 25 percent higher than it should have been, given gains in productivity. 

Mr President – you’re counting chickens that are still in vitrio……PLEASE please stop writing checks without looking at the balance!!!!

BTW, what was it that actually resulted in recovery?

Recovery came only after the Department of Justice dramatically stepped enforcement of antitrust cases nearly four-fold and organized labor suffered a string of setbacks, the economists found.

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