http://www.cheatseekingmissiles.com/2009/03/17/depressing-but-not-a-depression/ Wed, 02 Mar 2011 15:16:07 +0000 hourly 1 http://wordpress.org/?v=3.3 http://www.cheatseekingmissiles.com/2009/03/17/depressing-but-not-a-depression/comment-page-1/#comment-2596 Aren Wed, 18 Mar 2009 03:37:10 +0000 http://www.cheatseekingmissiles.com/?p=6567#comment-2596 Fixed http://i3.photobucket.com/albums/y55/silverbeam/Miscellaneous/corrected.jpg Fixed
http://i3.photobucket.com/albums/y55/silverbeam/Miscellaneous/corrected.jpg

]]> http://www.cheatseekingmissiles.com/2009/03/17/depressing-but-not-a-depression/comment-page-1/#comment-2595 Laer Wed, 18 Mar 2009 01:52:25 +0000 http://www.cheatseekingmissiles.com/?p=6567#comment-2595 <p>A very useful differentiation of terms ... plus you spelled that tricky trompe l'oeil right, so now I know where to go to cut and paste it if I ever use it.</p> A very useful differentiation of terms … plus you spelled that tricky trompe l’oeil right, so now I know where to go to cut and paste it if I ever use it.

]]> http://www.cheatseekingmissiles.com/2009/03/17/depressing-but-not-a-depression/comment-page-1/#comment-2594 Dave Schuler Tue, 17 Mar 2009 16:11:28 +0000 http://www.cheatseekingmissiles.com/?p=6567#comment-2594 There's a bit of a <em>trompe l'oeil</em> involved in the term "financial crisis".  We <strong>are</strong> in the most serious financial crisis since the Great Depression but <strong>we're not</strong> in the greatest economic crisis since the Great Depression, at least not yet.  The financial crisis is measured by things like bank insolvency, stock market decline, and so on.  Economic crisis is measured by more everyday sorts of things like how many people lose their jobs, the number of personal and corporate bankruptcies (other than among banks and financial services companies), decline in real GDP, and so on. Even if this were the greatest economic crisis since the Great Depression it's not different in kind from other post-war recessions.  Only the hysteria is different. For that to be the case we'd need to have a loss of jobs in double-digit percentages going on for years and substantial loss in GDP rather than 2% we've seen so far. There’s a bit of a trompe l’oeil involved in the term “financial crisis”.  We are in the most serious financial crisis since the Great Depression but we’re not in the greatest economic crisis since the Great Depression, at least not yet.  The financial crisis is measured by things like bank insolvency, stock market decline, and so on.  Economic crisis is measured by more everyday sorts of things like how many people lose their jobs, the number of personal and corporate bankruptcies (other than among banks and financial services companies), decline in real GDP, and so on.
Even if this were the greatest economic crisis since the Great Depression it’s not different in kind from other post-war recessions.  Only the hysteria is different.
For that to be the case we’d need to have a loss of jobs in double-digit percentages going on for years and substantial loss in GDP rather than 2% we’ve seen so far.

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