Comments on: Russ Roberts on the Economic Crisis http://www.outsidethebeltway.com/archives/russ_roberts_on_the_economic_crisis/ Online Journal of Politics and Foreign Affairs Thu, 26 Nov 2009 09:20:03 -0600 http://wordpress.org/?v=2.8.5 hourly 1 By: spencer http://www.outsidethebeltway.com/archives/russ_roberts_on_the_economic_crisis/comment-page-1/#comment-529937 spencer Fri, 28 Nov 2008 18:33:41 +0000 http://www.outsidethebeltway.com/?p=27919#comment-529937 Of course he ignores the things the FDR did in early 1933 like the bank holiday and going off the gold standard that allowed the system to bottom. It is fairly easy to go though and cherry pick negative data and blame all the bad things on the New Deal and ignore all the good things. For example his claim that real investment was negative throughout the 1930s is an extremely misleading statement. Yes, in 1939 the capital stock was lower than than in 1929. But it actually bottomed in 1935 and the bulk of the drop occurred very early in the 1930s. For example from 1929 to 1939 the real capital stock fell $29.4 billion ( $2000). But the drop from 1929 to 1933 was $35.6 billion ($ 2000). --source BEA-- So by only quoting the 1929 to 1939 drop and ignoring the 1929 to 1933 collapse he makes it sound as if FDR and the New Deal were responsible for the drop when in reality all the drop occurred before the New Deal kicked in. How you can take anyone who misuses and misquotes stats in such a blatantly biased and misleading way is beyond me. He is just taking you for a ride and depending on you not knowing the correct data to sell you a bill of goods. Of course he ignores the things the FDR did in early 1933 like the bank holiday and going off the gold standard that allowed the system to bottom. It is fairly easy to go though and cherry pick negative data and blame all the bad things on the New Deal and ignore all the good things.

For example his claim that real investment was negative throughout the 1930s is an extremely misleading statement. Yes, in 1939 the capital stock was lower than than in 1929. But it actually bottomed in 1935 and the bulk of the drop
occurred very early in the 1930s. For example from 1929 to 1939 the real capital stock fell $29.4 billion ( $2000). But the drop from 1929 to 1933 was $35.6 billion ($ 2000). --source BEA-- So by only quoting the 1929 to 1939 drop and ignoring the 1929 to 1933 collapse he makes it sound as if FDR and the New Deal were responsible for the drop when in reality all the drop occurred before the New Deal kicked in. How you can take anyone who misuses and misquotes stats in such a blatantly biased and misleading way is beyond me. He is just taking you for a ride and depending on you not knowing the correct data to sell you a bill of goods.

]]> By: charles austin http://www.outsidethebeltway.com/archives/russ_roberts_on_the_economic_crisis/comment-page-1/#comment-529921 charles austin Fri, 28 Nov 2008 17:30:58 +0000 http://www.outsidethebeltway.com/?p=27919#comment-529921 Amen, brother. The hubris of the masters of the universe will only be exceeded by the tragedies it begets. Amen, brother. The hubris of the masters of the universe will only be exceeded by the tragedies it begets.

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