By: Gina Laff
What are the similarities and differences between the economy during the great depression and economic collapse of 2008?
Purpose: In our economic fundamentals class, we got the chance to write this paper for our second milestone. I believe this milestone will help me understand the importance and challenges of the economy. When we get older, we will be able to have an advantage in knowing what to do with our money and how to take care of it. In my specific case, I will be able to know what to stay away from economically. We watched a movie called “The Inside Job” which explains how the American economy has similar and different issues effecting how the way we look at money is decided.
Here is an excerpt from my paper….
Living in this society we face many problems. In the end some how they all go back to the same problem, money. The U.S economy has always had issues struggling to keep the economy sturdy. Our most recent and top issue is finding a way to get out of trillions of dollars in debt, which puts a huge amount of pressure on all consumers. Our world wide economic collapse followed the stock market crash of 1929, in which unemployment remained high for an extended period, and many businesses failed. Due to WW2 we had the chance to boost the stocks up and keep the economy steady for about 40 years. We did a great job up until the 2000’s when our economy crashed once again. Mortgage loans doubled and money became and even more important focus with the to the high end investors. In my analysis I will be researching how the new age and old age of the economy differ as well have many similarities. Unfortunately since the great depression we have yet to control the chaotic yearning for money. How ever it seems to me that their are more similarities in the economic past. Issues that might have saved us if only we had the ability to use trial and error effect. We could have prevented this from happening a second time. This paper will show the similarities and differences between the 1920’s and 2008’s economic issues we have been facing.