Alongside Hoover

guys if we had communism

It took the biggest government stimulus in history to end the depression

World War II

They both had the same Keynesian policies

WW2 didn’t end it either

It did though

literally no one would be unemployed

wtf

oof

Incomes fall profits wall wages fall

Just have the government buy everyone as slaves

No

No one unemployment

Because deflation happens due to the natural market forces

Not artificial

which is healthy

Which still causes wages and incomes to fall

“Hoarding”

Saving

But even then

That’s a myth

90% of the time deflation didn’t result in anything

Not really visitor

Cost cutting

and greater efficiency

Many other things less to deflation

Greater efficiency and cost cutting is good individually

But it can result in a drop in money circulation

interventions in the wartime economy, war materiel was valued incorrectly and therefore the GDP data overstate economic conditions. Moreover, conscription and arms production gave a misleading employment picture. Instead, Higgs argues, the war was a period of capital consumption rather than capital accumulation. Tanks, bombs, and helicopters have limited uses outside of military applications. The labor that was used to produce them was not available to produce consumer goods and services; in fact, people went without consumer goods.

@Leo (BillNyeLand)

If the money circulation drops naturally

It’s not bad

And that’s not always the case

But the money supply will fail to meet demand

infact it’s mostly never the case

naturally it will

But how can it

How can what ?

deflation occur ?

And it was the capital spent on wartime investment into factories and employment that resulted in the consumption-driven boom after the war