Over the last year I’ve been asking what caused the “Great Depression”. Not a lot is known on this subject. There is a lot of explanation but few definitive answers, and most is written in hindsight. To the point which I can’t believe there is a definitive reason.
Today we can look at the economic downturn in extreme close up and see elements of the Great Depression. These elements include collapse in the financial sector, loss of liquidity, failure in manufacturing and high unemployment. In the 1930’s we had the phenomenon of the dust bowl which ruined agriculture in the mid-west, now we have the fear of climate change that is impacting us and food shortages in many parts of the world.
So are we repeating a cycle? After so many good years, record growth and progress are we now heading into a long decline?
I know several people who lived through the Great Depression. Over the pass few years I’ve asked them, “What was it like?” and “Do you remember how you went through it?. These individuals were children back then, yet they recall the efforts that people made to get by. The overwhelming thing they remember is learning that there is a lot that you can do without money.