On Mar 23, 3:10 pm, wrote:

One thing that WWII proved was that the New Deal was too small.

Before the war unemployment was cut in half and the economy was
growing by double digits due to the New Deal spending. The war sped up
the recovery.

You are a Democrat, I presume. Facts can be seen he

http://en.wikipedia.org/wiki/File:GDP_depression.jpg

Note that by the start of the war in Europe the GDP per person was
only back to the level at the start of the Depression and WELL below
what a "normal" GDP should have been. FDR socialist "New Deal" may get
some credit here for turning around the bottom, but GDP only got back
to "normal" level by Pearl Harbor. So yeah, it's probably true the
New Deal was too small and that the employment of war was the answer.
But practically, it's hard to the public to stand still for vast
"pyramid building" schemes which unlike war do not have built-in self-
interest motivation. Though a number of such schemes do appear to
have been tried.

A friend of mine in real estate noted some time ago that we could have
turned this "crisis" around way back at the beginning by buying up
about a trillion dollars worth of bad mortgage houses and burning them
down. Now he says it's too late for it to work with such a small
amount of money.