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42 sats \ 29 replies \ @Satosora 2 Aug 2024 \ parent \ on: U.S. Job Market Signals Looming Recession news
I wonder if the next president will have to deal with a worse economic cycle?
They're going to deal with a major correction. How bad the next cycle is is still TBD.
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Major correction or a major depression?
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"Depression" is a more colloquial term, which to me implies a prolonged period of reduced economic activity. Corrections/recessions can be over fairly quickly, no matter how large they are, if the government doesn't prolong them with stupid policies.
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Yes, but when has a government acted in a way that doesnt prolong it?
They love creating those worthless policies that seem to make it worse.
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It pretty much only happened in 1921: https://manhattan.institute/event/the-forgotten-depression-1921-the-crash-that-cured-itself.
We have observed different levels of prolonging, though. The Great Depression and Great Recession were subjected to much more government intervention than the others and they lasted much longer.
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Dont forget the Long Depression at the end of the 19th century! That was a odd one though
Yes.
Maybe that will happen again with all the government intervention.
Let us hope they dont think of something cleverly stupid.