Posted by admin | Posted in Economy | Posted on 22-07-2010
If you read economic news you notice that the Great Depression of the 1930′s is often mentioned, for example, that the GFC (ie the Global Financial Crisis) is “the greatest financial crisis since the Great Depression”. What if what we are heading towards is not just the greatest crisis since that time, but a greater crisis than that? What caused this crisis and what causes economic catastrophes like this?
One says it was the sub-prime mortgage meltdown. Others point to other reasons. I think very few sources really get the right idea. If I was to give a concise definition of the underlying reason for all depressions I would state this:
Economic depressions are caused by GREED running amok, unchecked, when governments remove the regulations that control it, and even assist in its wild ride.
