Galoot wrote:How can a war end a Depression? You said so yourself.
It created demand. It also rallied the people behind a cause. The fact is as soon as the government ordered the opening of factories to build equipment and supplies, the GDP began increasing.
It doesn't take a war to do that. We need to increase demand. Washington wants to avoid talking about it, let alone do something about it, but the fact is that it is much cheaper to manufacture products outside the US. It's great having access to cheaper products, but we've run into the problem that we don't produce enough here to keep everyone employed and able to buy the cheap products. We need to evaluate all our trade agreements and level the field for American workers. That will probably mean in decrease in the standard of living, but let's face it, we live pretty high on the hog.
Personally I don't think we should allow the importation of any product from any nation that does not have reasonable working conditions and pay for workers. That pretty much means China will be out of the market unless they get their act together.
The government won't likely do anything about that, so consumers need to start focusing on American made products and demanding more from stores.
Until demand for American products increases we won't see a meaningful recovery. The stimulus bill has nothing to address that. It just spends money we don't have, so they'll have to print it.