Tuesday, February 03, 2009

Do We Really Want a New, New Deal?

Two professors have conducted research about the Great Depression, and how FDR's New Deal exacerbated and prolonged it. Their conclusions, reported in a lengthy article in yesterday's Wall Street Journal, were that "New Deal labor and industrial policies prolonged the Depression by seven years!" They continue, "The main lesson we have learned from the New Deal is that wholesale government intervention can - and does - deliver the most unintended consequences."

Will Obama and the Congress provide us with incentives to work, save, and invest? Will the banking and manufacturing segments of our economy be reformed, so that they become competitive and profitable? Will our educational system provide our children with relevant knowledge and skills to compete with graduates from other countries?

1 comment:

Terri Wagner said...

Don't count on it. Obama has one goal...socialize America. And he may succeed since people are nervous and not listening to reason.