Putting The Financial Crisis In Perspective: It's Tough To Keep Economic Growth Down
from the 140-year-view dept
If you’re at all interested in economics in general, you should read David Warsh’s Economic Principals column, which is always interesting (and you should absolutely read his fantastic book Knowlege and the Wealth of Nations, which is highly relevant to many of the discussions we have around here). Anyway, his latest column shows a nice little chart of per capita GDP in the US over the past 140 years or so, which effectively shows a pretty consistent upward trajectory, where even recessions and the Great Depression — which is noticeable — are hard pressed to stop the eventual economic growth. The message is pretty clear: it’s hard to keep economic growth down. In the midst of a great contraction and massive deleveraging, that message seems to get lost pretty quickly — but it’s worth remembering.