Thursday, February 12, 2009

The anti-protectionist liars

In yesterday's Daily Mail, Peter Oborne cottoned on to something I've been banging on about for some time now - the similarities between the Great Depression and our current economic crisis.

The Great Depression arrived in precisely the same way. Here is the account given by the great historian AJP Taylor in his classic history of Britain between the wars.

'The great economic depression broke over the world in October 1929. The causes of this lay outside Great Britain, principally in the general reliance on American loans and American prosperity.

On October 24, 1929, the speculative bubble burst in the United States, and American money ceased to flow.'

I completely agree with that. American prosperity and money was the motivation behind the "globalisation" that took place in the first decades of the 20th century aided, as was this crisis, by the development of new communications technologies - principally the telephone and wireless.

I'm delighted that Oborne has seen the light and is now acknowledging that we are indeed facing a very serious economic disaster, but it infuriates me that he not only refuses to put the blame where it lies - corporatism and globalisation - but then seeks to criticise the one thing that turned the Great Depression around.

In the United States Barack Obama has already signalled that he is ready to support protectionism - the disastrous strategy that had such calamitous consequences around the world 70 years ago.

Indeed it is worth remembering that industrial production in the United States halved in the three years which followed the Wall Street collapse of 1929.

Indeed it is worth remembering - and it is also worth remembering that it wasn't until 1933 that the USA turned to protectionism - four years after the depression hit and the year which most historians agree was the turning point of the Great Depression. It was only when the USA applied the "disastrous strategy" of protectionism that they started to recover and it was only when the rest of the world joined in that we started to catch up.

And it is also worth remembering that by the time we had turned to protectionism Hitler was already in power, Japan - which had remained protectionist before the global downturn struck - had escaped the depression and was now a major regional power and the world was on course for a war the scale of which we had never witnessed before and I hope never witness again.

The thing is, Oborne must know this. He knows as well as I do that the Great Depression began in 1929. He knows as well as I do that it was preceded by a period of globalisation and he knows as well as I do that the worst of the depression happened in the years before the USA resorted to protectionism.

Either he is deluding himself or he is lying.


Chalcedon said...

Obourne is wrong. The Americans only achieved and then surpassed their production of 1929 in 1942. It was war orders that did it, not the New Deal. What got America out of depression was World War 2.

Now, there's a thought.

JuliaM said...

Yup, it was WWII.

I don't think WWIII would be so propitious, though...

Stan said...

It's true that they only surpassed the production of 1929 in 1942, but it's also true that the New Deal was the point at which production stopped falling and started to rise from 1934 onwards.

The USA spent four years trying to avoid protectionist measures and things got worse and worse - only when they and the rest of the world turned to protectionism did the world start to undergo a slow recovery.

Oh, and though WW2 was very lucrative for the USA (and a couple of other nations) it wasn't so rewarding for Europe.

Chalcedon said...

Ah no. We were bankrupted. The Yanks forced us to open up our trading empire to them and eventually to dismantle it. Still, at least we have paid off the loans now!

will said...

情趣用品,情趣,情色,成人,A片,自拍,情趣用品,情趣,色情,成人影片,色情影片,免費A片,情趣用品,情趣,成人網站,A片下載,日本AV,做愛,情趣用品,情趣,美女交友,A片,辣妹視訊,情色視訊,情趣用品,情趣,色情聊天室,聊天室,AV,成人電影,A片,情趣用品,情趣用品,情趣商品,情趣,情趣情色,A片,AIO,AV,日本AV,色情A片,AV女優,A漫,免費A片,A片下載,情色A片,哈啦聊天室,UT聊天室,聊天室,豆豆聊天室,色情聊天室,尋夢園聊天室,080視訊聊天室,080聊天室,080苗栗人聊天室,免費視訊聊天,上班族聊天室,080中部人聊天室,視訊聊天室,視訊聊天,成人聊天室,一夜情聊天室,辣妹視訊,情色視訊,成人,成人影片,成人光碟,成人影城,自拍情趣用品,A片,AIO,AV,AV女優,A漫,免費A片,日本AV,寄情築園小遊戲,情色貼圖,色情小說,情色文學,色情,色情遊戲,一葉情貼圖片區,色情網站,色情影片,微風成人, 嘟嘟成人網,成人,成人貼圖,18成人,成人影城,成人圖片,成人影片,UT聊天室,聊天室,豆豆聊天室,尋夢園聊天室,080聊天室,080苗栗人聊天室,080視訊聊天室,視訊聊天室情趣用品,A片,aio,av,av女優,a漫,免費a片,aio交友愛情館,a片免費看,a片下載,本土自拍,自拍,愛情公寓,情色,情色貼圖,色情小說,情色文學,色情,寄情築園小遊戲,色情遊戲,嘟嘟情人色網,一葉情貼圖片區,色情影片,情色網,色情網站,微風成人,嘟嘟成人網,成人,18成人,成人影城,成人圖片,成人貼圖,成人圖片區,成人小說,成人電影情趣用品,情趣,情趣商品,自拍,UT聊天室,聊天室,豆豆聊天室,哈啦聊天室,尋夢園聊天室,080聊天室,080苗栗人聊天室,H漫,A片,AV,AV女優,A漫,免費A片,愛情公寓,情色,情色貼圖,色情小說,情色小說,情色文學,色情,寄情築園小遊戲,色情遊戲,SEX,微風成人,嘟嘟成人網,成人,18成人,成人影城,成人圖片,成人貼圖,成人圖片區情趣用品,情趣用品,情趣,情趣,情趣商品,A片,A片,A片,A片,A片,A片,中古車,二手車,情色小說,色情,情色視訊,寄情築園小遊戲,AIO交友愛情館,色情遊戲,情色交友,嘟嘟情人色網,言情小說,一葉情貼圖片區,情色論壇,色情影片,情色網,色情漫畫,UT聊天室,聊天室,豆豆聊天室,哈啦聊天室,尋夢園聊天室,視訊聊天室,080聊天室,視訊聊天,美女交友,視訊做愛,情色視訊,免費視訊A片,A片,A片下載,做愛,成人電影,18成人,日本A片,情色小說,情色電影,成人影城,自拍,情色論壇,成人論壇,情色貼圖,情色,免費A片,成人,成人光碟