Comparing The Great Depression And The Great Recession

Although The Great Depression and The Great Recession are similar in that they both negatively impacted the American people and were caused partly by the government’s deregulation; their differences lied within the intentions of their similar causes as well as their approaches for remedies. One way that America can avoid hard times such as these is to keep regulations on banks.

During the Great Recession as well as the Great Depression, many individuals were left unemployed. Due to the Great Recession, employment had fallen “14.6 percent, from December 2007 to June 2009” (Goodman and Mance 4) in the manufacturing industry. During the Great Depression, unemployment rates reached a high of about 23 percent among Americans (Samuelson paragraph 7). Although the unemployment rate of the Great

With the production of guns, and other things necessary items for the the war efforts, the economy began to boom. Production was not only helping the US, but production items were being sold to the allies of the United States which was also created revenue to help relieve the United States from the Great Depression. In contrast, during The Great Recession there were many policies that were put in place to try to fix the burst bubble. Only one worked, but “what is now clear, however, is that unconventional monetary policy and extremely low interest rates have also created major financial risks that could hurt the European and U.S. economies in the years ahead” (Feldstein, Martin). These tactics being utilized are setting up a perfect scene for another economic collapse. The policies put in place to help fix the economy during the Great Recession put the United States further into debt, but can have a bigger pay off later if it works out. At best the US avoids a huge economic collapse, or the economy’s bubble will