BEGINNER

Depression

Broadly, a downturn in the economy where real (inflation adjusted) income shrinks. Depressions are commonly observed at the national level. Some major causes of depressions include misallocation of capital, increased uncertainty, and supply shocks.

Ben Powell - The Great Boom and Bust

 

Paul Cwik - Austrian Theory of the Business Cycle

Related Publications

ARCHIVE

Socialism and the Boom/Bust Cycle

MAY 28, 2009

Paul L. Poirot examines the persistent complaint that the capitalist system of competitive private enterprise leads to periodic booms and busts.

ARCHIVE

Black Swans, Butterflies, and the Economy

NOVEMBER 03, 2008

One side blames the market. The other blames government. We get two causalstories going in opposite directions and a lot of animus. But both perhaps aremissing something important in this titanic debate about our current financialcrisis. It's time we exposed a complicated truth about the economy of the 21stcentury. More . . .

A NEW article byMax Borders

ARCHIVE

The Freeman: The Great Escape from the Great Depression

OCTOBER 21, 2008

Questions about the Great Depression may be usefully framed as pertaining to three distinct issues: the Great Contraction, the extraordinarily severe economic decline from 1929 to 1933; the Great Duration, the persistence of subpar economic performance for more than a decade; and the Great Escape, the ultimate recovery from this uniquely deep and long depression. Although economists continue to debate the causes of the Great Contraction and the Great Duration, a rough consensus has emerged that major policy blunders of various sorts deserve most of the blame for these calamities. With regard to the Great Escape, economists have also reached substantial agreement, but unfortunately they have come to agree on an interpretation that is almost completely wrong. More . . .

Related Freeman Articles

OUR ECONOMIC PAST

Are We Looking at the Wrong Depression?

FEBRUARY 22, 2012 by STEPHEN DAVIES

ARTICLE

Cause, Effect, and the Current Depression

Sorting it out.

AUGUST 11, 2010 by WILLIAM L. ANDERSON

All too often people confuse cause and effect.

Related Multimedia

MULTIMEDIA - VIDEO

The Great Boom and Bust

NOVEMBER 14, 2012 by BENJAMIN POWELL

On June 21, 2011 Ben Powell, Associate Professor of Economics at Suffolk University, lectured at the Freedom University: Current Events Seminar. In this video Ben discusses the Housing Boom and Bust.

Directed by Brian Aitken and produced by Steven Patterson for FEE.tv: Freedom in HD.

MULTIMEDIA - VIDEO

FDR and the Great Depression

MARCH 22, 2011

MULTIMEDIA - VIDEO

Austrian Theory of the Business Cycle

MARCH 01, 2011

MULTIMEDIA - VIDEO

Macroeconomics: The Boom and Bust Cycle

OCTOBER 02, 2009

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