most creepy chart on itulip...

[metalman]

think about it...

[Diarmuid]

Re: most creepy chart on itulip...

think about it...

If I have you right - I think this is a well established maxim if your an elite and the economy is / has imploded - kick the chess board over and start a war.

[mmr]

Re: most creepy chart on itulip...

I'm curious what this chart would look like for Germany from 1923 onwards - probably more relevant for the upcoming hyperinflation.

Also curious what the chart will look like once we start running out of oil in earnest and that nice exponential "potential real growth" curve starts to look more like a bell curve.

[rjwjr]

Re: most creepy chart on itulip...

If I have you right - I think this is a well established maxim if your an elite and the economy is / has imploded - kick the chess board over and start a war.

I don't think the graph supprts this maxim since US GDP actually turned to growth mode in 1934. True, the war years kicked GDP into high gear, but the growth had already started per the graph.

[Diarmuid]

Re: most creepy chart on itulip...

I don't think the graph supprts this maxim since US GDP actually turned to growth mode in 1934. True, the war years kicked GDP into high gear, but the growth had already started per the graph.

Fair enough - but I read a double dip declines again in 1937

[Sharky]

Re: most creepy chart on itulip...

Is the chart mislabeled? Should it be "-29% GDP to 1933"? If not, then I'm confused.

[metalman]

why this is the most creepy chart on itulip...

my point... usa gdp over potential gdp since early 1960s... revert to the mean started early 2000s? need a clearer version....

[WDCRob]

Re: why this is the most creepy chart on itulip...

I'd kind of like to see 1970-2000 before I try to make any judgments about today.

[Starving Steve]

Re: most creepy chart on itulip...

I'm lost, as usual. Speak in plain-folks' English or Spanish, not Greenspanese: What are chained-dollars? What is real potential GDP?

When I think of chained dollars, I think of dollar bills chained together. That sounds like an art project.

What is the message that I am supposed to take-away from your graph? It looks like the economy in America grew 400% in real terms from 1929 to 1969. So why is that important? .... Things did tend to grow, or at least they did until the eco-nuts took over in the 1970s and re-set the agenda to pot, windmills, and solar power.

[FRED]

Re: most creepy chart on itulip...

Is the chart mislabeled? Should it be "-29% GDP to 1933"? If not, then I'm confused.

Not mislabeled. Real GDP declined in 1933 to the same level as 1923, ten years earlier.

[jk]

Re: most creepy chart on itulip...

I'm lost, as usual. Speak in plain-folks' English or Spanish, not Greenspanese: What are chained-dollars? What is real potential GDP?

When I think of chained dollars, I think of dollar bills chained together. That sounds like an art project.

What is the message that I am supposed to take-away from your graph? It looks like the economy in America grew 400% in real terms from 1929 to 1969. So why is that important? .... Things did tend to grow, or at least they did until the eco-nuts took over in the 1970s and re-set the agenda to pot, windmills, and solar power.

try wikipedia. there's an article titled "chained dollars." although there isn't one titled "real potential gdp", there are ones which are clearly related and should suffice. once you've learned the vocabulary, go back and see what sense you can make of the graph.

[goadam1]

Re: most creepy chart on itulip...

I'm lost, as usual. Speak in plain-folks' English or Spanish, not Greenspanese: What are chained-dollars? What is real potential GDP?

When I think of chained dollars, I think of dollar bills chained together. That sounds like an art project.

What is the message that I am supposed to take-away from your graph? It looks like the economy in America grew 400% in real terms from 1929 to 1969. So why is that important? .... Things did tend to grow, or at least they did until the eco-nuts took over in the 1970s and re-set the agenda to pot, windmills, and solar power.

The eco-nuts slowed growth in the 70's? It wasn't running the printing presses at full speed for Vietnam and the Great Society? It wasn't an oil shock caused by running the printing presses full steam? It was all those alt energy programs? Huh?

[goadam1]

Re: most creepy chart on itulip...

A few months ago, EJ compared this "repression" to coming off the war economy. The drop below the line after the war is similar to going off the FIRE economy now.

Do I have it right? Can I have a cookie?

[FRED]

Re: most creepy chart on itulip...

A few months ago, EJ compared this "repression" to coming off the war economy. The drop below the line after the war is similar to going off the FIRE economy now.

Do I have it right? Can I have a cookie?

To compensate, we will "wage war" on high energy costs by spending public funds on alternative energy and infrastructure.

[jk]

Re: most creepy chart on itulip...

To compensate, we will "wage war" on high energy costs by spending public funds on alternative energy and infrastructure.

it's scary when you know a little history

...The energy crisis has not yet overwhelmed us, but it will if we do not act quickly. It is a problem we will not solve in the next few years, and it is likely to get progressively worse through the rest of this century.
We must not be selfish or timid if we hope to have a decent world for our children and grandchildren.
We simply must balance our demand for energy with our rapidly shrinking resources. By acting now, we can control our future instead of letting the future control us.
Two days from now, I will present my energy proposals to the Congress. Its members will be my partners and they have already given me a great deal of valuable advice. Many of these proposals will be unpopular. Some will cause you to put up with inconveniences and to make sacrifices.
The most important thing about these proposals is that the alternative may be a national catastrophe. Further delay can affect our strength and our power as a nation.
Our decision about energy will test the character of the American people and the ability of the President and the Congress to govern. This difficult effort will be the "moral equivalent of war" -- except that we will be uniting our efforts to build and not destroy.

one of the nyc tabloids, reporting on the president's energy policy, took to referring to the moral equivalent of war as m.e.o.w.