Samuelson

Sincethe 1940's, America has suffered 10 recessions. They usually only last around 10 months, but we are about to go into another recessions, but joblessness would have to increase alot to match other highs. Herbert Hoover for example, expanded public works to try and get out of the slump. The Great Depression that came after the stock market crashed in October 1929 was a different challenge. By the low point in July 1932, stocks had dropped almost 90 percent from where they usually are. Some other things included:bankruptcies, foreclosures, bread lines—lasted a decade. Even in 1940, unemployment was almost 15 percent. Not like most recessions, the Depression submitted not to its self marketing mechanisms or government policies. Another example would be:from 1929 to 1933, two fifths of the nation's banks failed, depositor runs were epic, and the money supply declined by more than a third. Samuelson thinks that what we see now is a very big effort to prevent a repeating of this destructive chain reaction by which a disfunctional financial system compounds the economic downturn. In reality the treasurery is bailing out the Fed, which have already lent them money. The economy is going to get very worse.