Obama Makes History By Using History to Create Fear
The $ 787 billion stimulus bill that President Obama signed into law will clearly be noted in history. The fact that he used history, by wrongly comparing our current situation to the Great Depression, most likely won't. The point here is simple: cooler heads prevail. Passing a bill fueled by fear might not be the best idea. The fact is that we are in the middle of an economic crisis. In 2008, we lost 3.4 million jobs or 2.2% of the labor force. The financial sector is in trouble and everyone is wondering which bank will fail next. Things are not good. If this were to continue for some time, could we end up in a situation similiar to that of the 30's? Sure, but do the current signs predict this? That is not clear. What is clear is that the Obama administration has no qualms about using fear to rush legislation through the democratic process. In 1930 durring the begining of the Depression, the labor force contracted by 4.8%, in '31 it went down by 6.5%, and in '32 it shrunk 7.1%. In 1933, thousands of banks failed. The point is our current situation isn't quite there yet, and saying we are on the brink of another episode of the Depression is less than truthful. Machiavelli felt that fear was a good tool for a ruler to use. Hovever, I am unsure if he ever considered the economic consequences. Fear may cause a decline in conusmer confidence which would hinder any type of recovery. Comparison of 1930's to 2008-09.