The bets are on the table, now we just need to see how the cards play out. Democrats have bet on the stimulus bill, which is aimed at recovering the US economy from the disastrous last eight years of unregulated, trickle-down theory that brought us near total collapse. Republicans have bet against the US economy.
The American public has sided with Obama. I’m one of those who believe we can recover – now that the Republicans have been marginalized. We won’t know which side is right until 2010. The Republicans have retreated to a position similar to Hoover after the 1929 crash. Obama and the Democrats are trying to prevent what led up to the 1932 Depression.
I think we’re facing a New Great Depression, on the scale of 1932, if we do nothing. Those who object to the comparison say 2009 is nothing like 1932. That’s right; 2009 is like 1930 – the year after the crash, where things kept spiraling out of control (under Hoover) until Roosevelt was elected and turned the tide. 2009, like 1930, is the year after the crash and we are seeing signs that, if not immediately attended to, will make the comparison complete.
The US Gross Domestic Product fell in a straight line from 1929 to 1933 (the year Roosevelt was inaugurated). By 1937, the economy had recovered to pre-1929 levels and continued to increase to 1940 and beyond, when the war economy kick in.
Visit http://en.wikipedia.org/wiki/File:Gdp20-40.jpg to view a chart.