It was the answer to the Great Depression. The Keynesian solutions tried then didn't work. Only WW2 could save the economy. Ben has tried his acedemic theories during the Great Recession, and they haven't worked. IMO he will try it again with QE3 in 2012, but it won't work anymore than did QE's 1&2. I believe the establishment has already concluded that, and is moving the US toward war. They'll try to find a good provocation. They fabricated the Gulf of Tonkin Resolution which fooled the public into going to war in Viet Nam and the WMD lie which was the provocation for the Iraq folly. We'll see. Snug
The establishment only cares about "the rest of us" to the extent that we are controllable(food stamps and welfare to control the very poor/elderly and better futures for the middle class). The middle class is now all but destroyed and the poor/elderly are set to see the small safety net they had disappear. All this spells one thing......VIOLENT REVOLUTION........jUST A matter of how and when......
the only reason war worked for us then was because europe owed us a lot of money for the expense of fighing the was.
it seems similar that europe is having financial problems and the U.S. is benifiting with low interest rates. will the U.S. come out ahead after all this?? europe is suffing and we are borrowing cheap. isn't this a U.S. benifit??