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To: maceng2 who wrote (94292)	4/15/2001 12:08:24 PM
From: Mike M2	Read Replies (2) \| Respond to of 436258

Pearly, there were many factors which exacerbated the Great Depression but IMO the most significant was the inevitable unwinding of the excesses engendered by the boom. A continuation of the credit excesses will not correct results of the past credit excesses - malinvestments. The IRS attaches wages of many Americans - I don't think paper millionaires gone bust deserve special treatment. They should have paid the tax due when the taxable event occurred. You should not construe my comments about TL & EV as my desired outcome it is my expectation based upon my study of history and economics. Mike

To: maceng2 who wrote (94292)	4/15/2001 3:17:43 PM
From: sun-tzu	Read Replies (3) \| Respond to of 436258

PB, The depression that followed the crash of 1929 was mainly the fault of Herbert Hoover who was perhaps the worst US President in history. His restrictive policies actually tightened the money supply when aggressive easing was needed. His inflationary policy was the exact opposite required for the deflationary economy at that time. He raised rates on farmers by signing the Smoot-Hawley Tariff Bill, dramatically decreased the money supply and passed a huge tax increase that turned the economy into a barren wasteland. The Fed was actually leaderless at the time because then chief Benjamin Strong died months before the crash. Had he been around to ease the money supply, the great depression would probably have been restricted to a prolonged bear market. Instead, nearly 10,000 banks collapsed and unemployment reached almost 25%. Herbert Hoover was a fool. (~)^(~)