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Originally Posted by anomaly The economy you speak of as 'growing' is doing so only for businesses...workers continue to see their salaries remain stagnant. |
How is the salaries for workers remaining stagnant? The average household income over the past 20 years rose dramatically. Whether you look at the mean or the median, it has risen between 12 and 40%.
http://www.census.gov/hhes/income/histinc/h11.html Quote:
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The rise of inequality is not good for the economy, and the rise of business will inevitably lead to a surplus of goods created, overspeculation in the stock market, and thus the inevitability of the economy turning, as it does under capitalism. We are currently seeing a path eerily similar to that of the 1920's...and we all know how that ended.
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Actually, the reasons for the Great Depression are far more complex than the ones you mention.
During the 1920's, the Fed increased the money supply by 60%, allowing massive speculation, contributing to a national devaluation.
The Smoot Hawley Tariff Act, although it was passed after the initial crash, prevented a quick recovery. "In 1988, the Council of Economic Advisors proclaimed that the Smoot Hawley Tariff Act was 'probably one of the most damaging pieces of legislation ever signed in the United States.' "
The economic conditions now are nothing like they were then, and if you're planning on waiting for the next Great Depression, you'll have a while longer to wait.
While capitalism has the faults inherent to every natural business cycle, it is a lasting and successful system, as opposed to any other alternative.