There is more and more news today that the economic recovery, what there was of a recovery, is over and we are heading into the double dip. This news is no surprise. Too many economists and bloggers (yours truly) predicted this based on the evidence of the Great Depression. Stated simply, enormous government spending used up credit and led to a second and more severe drop.
Sorry for lack of links. Too busy searching for a job in the Obama ‘recovery.’
UPDATE: See this excellent piece by Amity Shlaes; Obama threatens to follow in FDR’s economic missteps: “The outcome was not what the New Dealers envisioned. Horrified by what they perceived as an existential threat, businesses stopped buying equipment and postponed expansion. ”
