Sunday, March 17, 2013

Greece Today Compared To US In Great Depression

These graphs show that Greece looks worse today than the US did in the Great Depression.  The major difference in the two economies was government spending.  The Greek government is unable to increase spending because of its financial position. It has been forced to cut spending. The US government did not have the same constraint.  Government spending on the military was increasing even during the Hoover administration.  Hoover did not like budget deficits but government was the only sector of the economy that was not shrinking during the Great Depression.

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