This thorough report on Washington’s Blog compares the Great Recession which began about three years ago to the Great Depression of the 1930’s. With the euphoria in stock markets a casual observer might think that the end is in sight, that we will soon be out of the woods. Is that possible?

Before answering this question, the realities of the apparent double dip in US housing, coupled with the new Eurozone credit crunch and the overheating non-OECD economies should at the very least give pause for thought. Washington’s Blog has been doing a lot of this thinking, and it shows. The article linked above meticulously compares every important aspect of these two eras, and found not only great similarities, but also reason for great concern: the $8.5 trillion amount committed on behalf of the US taxpayer to fight this crisis exceeds the total combined sum in 2007 dollars of the cost of all wars (WW1,WW2, Korea, Iraq, Afghanistan etc.) and all major policy initiatives (Louisiana purchase, New Deal, Marshall Plan, NASA, etc…), since the American Revolution. Despite this unprecedented commitment, the fundamentals of the world economy are not recovering.

Quoting any part of this excellent and well researched article would do injustice to all its other parts. A visit over to Washington’s Blog to read the original, which includes links to sources and graphs, would be well worth the time.