Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (17810)	2/24/2004 9:28:50 PM
From: Elroy Jetson	Respond to of 306849

As Schumpeter would have said, we need an economic recession - a period of hard times. More to the point we will get it. It is unavoidable. Nations would not accept the recession after WW-I and tried to eliminate it through credit expansion and deficit spending which led to the bubble of the 1920's. The bursting of the 1920's bubble, created to avoid the recession of post 1918, was the Great Depression. Schumpeter said the solution to the Great Depression was not to have the bubble of the 1920's. "There should be a presumption against remedial measures which work through money and credit. Policies of this class are particularly apt to produce additional trouble for the future." "Economic depressions are not simply evils, which we might attempt to suppress, but forms of something which has to be done, namely, adjustment to change." "For most of what would be effective in remedying a depression would be equally effective in preventing this adjustment." Joseph Schumpeter