Question

[Homicidalheathen]

I just heard about another man freezing to death who couldn't afford to feed his dogs....

And I was wondering...

(figured someone on here knows the answer as there are many political buffs)

At what point do they declare Depression?

50% unemployment?

When things are so bad they can't lie anymore...? Long soup lines...I mean we have that. We have tent cities ect...ect...

And our dollar value is not what it used to be...

I just want to know at what point do they declare it a depression as opposed to a recession

[Simon Bar Sinister]

there are other economic indicators besides unemployment (which peaked during the Great Depression at about 25%) that have to cross certain thresholds.

[candyman]

It's sad that anything like this has to happen.

However, no matter what country you are in, and no matter what type of government is in place, shit like this is going to happen. The governent can only and should only do so much. This is why there are different levels of government, and it is also why there are the common people. The government does its thing and the people act on that. The problem is that when you factor humans into this equation you get problems. First, the government makes both good and bad decisions, and the people react to them in a way that I find depressing: The good goes unnoticed and the bad gets great attention. Secondly, you have the people. The reaction to the governments decisions is the problem here. If there is a good idea it is taken for granted and often forgotten so nobody knows how to use it when it is needed...until its too late. When there is a bad decision they freak out. Even though the ability to take some good out of the situation exists the vast majority of the people would rather complain than do anything about it and want the government, which messed up in the first place, to fix it. Another problem is that people think that a new person in any office is going to do better.

We practice Capitalism, this is basically where those that work hard get what they deserve and those that don't get their just rewards. Just like any other system there are those that get shafted regardless of their situation...that sucks. However, there is still room here for people to act on good intentions. Sadly there are very few that do. Socialism may seem like a better system because all people are considered to be equal. However, when looked at deeply the "human" factor still remains to destory the basic foundations of Capitalism, Socialism, and whatever else you want to put in there.

These are hard times...even the government has admitted that to some degree. But no matter what happens we will not soon recover if we anchor ourselves to the bad. Like I said up there, the "human" factor remains and that, only that, will determine how soon we recover from this. Complaining about the government and its decisions will get us nowhere. Do it all you want but expect nothing good to come out of it. We don't need a damn president in a nice suit to give us a hand. History has show that humanity can move foreward no matter what the situation. It also shows that humanity can curl up into a ball and wait for the axe to fall. We have the tools, the numbers, and the ability to make a difference. So, I pose this question: What are WE going to do?

[taysteewonderbunny]

It has something to do with production rates and capacities, I think, that they are diminished below the demand. For this to be a depression, shortages must abound. We have surpluses now. Just that fewer can afford to purchase sometimes even basic goods even now that prices have (or ought to have) decreased.

[TomCat]

It has something to do with production rates and capacities, I think, that they are diminished below the demand. For this to be a depression, shortages must abound. We have surpluses now. Just that fewer can afford to purchase sometimes even basic goods even now that prices have (or ought to have) decreased.

Yeah, and the vicious cycle that leads to depression may exist, however the "criteria for qualifying the economy as a depression" does not...not yet anyway.

[n0Mad]

Right now we're in a goth economy. Dark, gloomy, depressing, but there's still a beauty in all that. A few alterations and we may turn into an emo economy. Pray that doesn't happen.

[Homicidalheathen]

Right now we're in a goth economy. Dark, gloomy, depressing, but there's still a beauty in all that. A few alterations and we may turn into an emo economy. Pray that doesn't happen.

I like that phrasing. Michigan does indeed feel soo goth and gloomy and its not just the economy but the effect on attitudes as well. The weather ads to it....but people are cold here compaired to out west and down south. I had someone tell me I act like I am about to get mugged all the time once, always on my guard and that I have this 'air' about me and I never say HI to strangers in public. Trying to change that but it helps keep the thugs from trying to scam or rob me.

[pomba gira]

I have heard that "they" won't use the term "depression" no matter what, because of the panic effect it would cause. No idea how true that is.

[taysteewonderbunny]

I have heard that "they" won't use the term "depression" no matter what, because of the panic effect it would cause. No idea how true that is.

Maybe. I don't doubt things get spun endlessly.

From wikipedia re: economic depression:

Characteristics

Generally, periods labeled depressions are marked by a substantial and sustained shortfall of the ability to purchase goods relative to the amount that could be produced using current resources and technology (potential output).[3]

Though there is no widely accepted definition for an economic depression, according to an article in The Economist, there are two rules of thumb found widely on the internet. One is a decline in real GDP exceeding 10%, and the other is a recession lasting 3 or more years.

[torn asunder]

recession is when the economy takes a prolonged downturn; depression is what you get during it!

[Gaf The Horse With Tears]

Well, if if makes anyone feel better... it's not just Michigan, it's not just the USA.. the whole world is in a recession.

[TitsMcGee]

You know I've been thinking about this lately, and I really don't think the same standards from the depression of the 30s should apply to today.