> I've even read (somewhere) economists who feel FDRs new deal actually lengthened the depression.
>
>I stated that in a prior post. That's not a matter of opinion, it's a fact.
>
>I majored in econ for a long time (and then I discovered Turbo-C in 1987)....but for several years I read everthing I could get my hands on, regarding the causes of the Great Depression.
>
>The absolute best book is right here...the author was an economist for Chase Manhattan during the period, and debunks many of the myths regarding Hoover and FDR.
>
>http://www.amazon.com/ECONOMICS-PUBLIC-WELFARE-BENJAMIN-ANDERSON/dp/091396669X/ref=sr_1_1?ie=UTF8&s=books&qid=1232346136&sr=1-1
>
>It was government manipulation of the money supply beyond reserves that triggered the depression.....and specific actions during the FDR administration ( Smoot-Hawley, huge increases in income taxes in '32, the early New Deal in '34, and the Wagner Act in '35) prolonged the depression.
>
>Anyone who states that "capitalism and the gold standard" were responsible for the Great Depression (and for the current mess) is going on pure nonsense and probably learns their history from bumper stickers.


But its still a matter of opinion wether govt spending or govt reducing spending is the way out. There are plenty of economists who will go with spending and vice versa. The only sure thing is that for the next 4 years you're going with what the people voted for.