A Depression Doesn't Magically Turn Around in a Couple of Years

The US far right economy has failed yet the arrogant, mega wealthy elites refuse to recognize this, thus their pretending that a recovery exists. Specifically, the 2.7 percent growth rate of the first quarter, about one third of what is needed were there an actual recovery, and the trivial job gains reveal that the "recovery" is nothing more than propaganda and fantasy. Not to mention that even the 2.7 percent is mostly in sectors (especially finance and health care) where a majority of the players are extremely high income and very wealthy elites who technically don't need a job to survive. Meanwhile, those who have to have a job to survive work in sectors many of which have not yet seen even a mini recovery, sectors such as construction and education.

Some things never change. The rich are still getting richer and the poor are still getting poorer despite the changed economic circumstances from a few years ago to today. This process is seemingly all that really matters in the States anymore. As long as many of the rich are getting richer and regardless of how many tens of millions are getting poorer, the US economy is considered to be a success by the powers that be.

Many elites have conveniently forgotten that there have always been (for many hundreds of years at least) small and ultimately insignificant mini "recoveries" within overall depressions. Depressions simply don't magically reverse themselves after a year or two; they end only when sufficiently large scale counter forces are brought to bear. Things have to change on a scale commensurate with the scale of the depression or it will most likely both in theory and in fact never end the way American recessions used to end for about fifty years after World War 2. Instead, the depression will evolve into stagnation and it will be at least a decade, more likely many decades, and very possibly never before the economy gets back to where it was before the depression started in terms of income opportunities (jobs and business opportunities) available for the masses of unemployed.

Check any number of third world countries for further details about how big economic downturns are not automatically followed by strong recoveries. Roughly but accurately speaking, third world countries are essentially countries that are permanently depressed.

When Paul Krugman pointed out that Obama's stimulus was not going to be sufficient, he was of course exactly correct.

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