Would a "Third New Deal" Help present day United States?

[SlayerRondo]

Fireforgey said:

SlayerRondo said:
I don't think the first and second new deal were anything but a drain on productive resources in the economy. Looking at things on a global scale the more austere nations were the quickest to recover from the great depression, and often when recessions hit letting them run there course is good in the long term for the economy.

Say hwat now?  Really, you sure about that?  Look, in terms of economy and on a global scale the quckest coutries to recover were those that dropped the gold (and silver) standard earlier on allowing them to print more money that allowed them to get out of the rut they were put in.  It was more spending that got them out.  Case in point, would WWII have brought the world back into another depression had spending and debt truly been the cause of the first one?  It did not, and many people attribute it to the massive boom in economy in America and around the world as spending skyrocketted.  If you have any proof of the opposite I would love to see the source.

 

As to the OP, it's wierd for you to ask for a New Deal considering that it has always been democratict initiatives and they are the ones currently in power (bringing about the "socialism" that you talked about).  ObamaCare will prove its worth over the next few years and within a decade people will ask how they ever lived without it.  Wars are ending overseas and the money spent on them is being drawn down drastically (and don't compare the cost of the Iraqi and Afghanistan wars to the little skirmishes in Libya and Syria).  The only major constraint on the world recovery is the brinkmanship that has been going on in congress and trust me, it won't get this bad again for decades.  The Repulicans took a beating in the polls and they aren't willing to cause another shutdown. I think that (while he has been far, far from perfect) Obama has been taking the right steps towards getting America back on track, his worst sin is the partisanship that has plagued Washington which I will freely admit is a failure of his leadership.  However, economically, his decisions have been sound and on well proven grounds, outside meddling has been reduced drastically, unemployement has fallen despite everything that has happened, all in all, I think 10 years down the road people will look back fondly at his presidency.

 

Just trust me on the ObamaCare thing, once its rolled out and all the kinks worked on, it'll become the next SS and Medicare; a golden pillar of Americanism that cannot be touched by any party or ideology.  It has severe flaws right now but they will all be worked on, the underlying principles is tried, true and tested.  You won't agree, but you'll see in good time.

To begin with your praise for a preseident who does little to nothing for personal liberty and continues the same policies as George Bush of blowing up anyone who may or may not have a slight connection to Islamic militancy in the middle east woth drones in the sky disgust me. He, as will many other president's throughout history will be remembered as a scumbad, plain and simple.

And the beginning of the depression was marred by policies such as raising the top tax rate from 25% to 63%, along with prohibiting wage decreases and tariffs on imported goods (which of course lead to tariffs on our exported goods, many of which linger to today) lead to disasterous results for the economy. And the money gained from this taxation was used for wastefull spending as was done for the recent financial crisis. It was also the governments cheap supply of credit as a result of the federal reserve created in 1913 that lead to widespread malinvestment for years. Government intervention today also created the housing bubble as government policy encouraged the lending of money to people who could not afford it ending with them losing their house and the banks losing money, which inevitabily lead to them getting bailed out by the government. Which has also lead to our high levels of government debt to GPD as can be seen at http://www.tradingeconomics.com/united-states/government-debt-to-gdp.

Also your claim about the gold standard is absurd as it certainly did not stop the United States government from spending every penny it forcefully took via taxation.

Looking at WW2 we can see that from a purely economic standpoint, the war made consumers worse off because it was often difficult or impossible to purchase the goods they needed. The weapon factories were not producing goods and services that Americans could enjoy. The U.S. government had forbidden the production of new cars, houses, and major appliances. Due to government rationing, it was difficult to buy many goods such as chocolate, meat, gasoline, sugar and tires.

So what do I thnik ended the Great Depression? Huge government spending cuts after the war did as from 1944 to 1948,the U.S. government cut spending by $72 billion—a 75 percent reduction.

Also social security and medicare are the two largest black holes for taxes that exist today, so telling me Obamacare will turn out like them is a nightmare senario for me. They work simple because people have been forced to pay into them their whole lives and now cant speak out against them because they have already paid for them. Medicare gives three times what you put in, they are simply robbing the younger generations by forcing debt upon them.