Originally Posted by Gotadimple
And inflation was running -25% with unemployment at a 25%. See this table in the article at the Schwab website entitled 10/8: Depression Fears Overblown.
At this link Depression Fears Overblown
I do not know if we are in a situation that compares to the great depression or not... But the Great Depression took a while to get GREAT! I am not sure if we have had time to really know yet what the full impact of this will be.
Of course this time we are having much more proactive government intervention (early). I have no doubt that if that did not occur, we would likely have massive business failure because of the credit crisis (money crunch).
It is looking like many companies will fail anyway. The crisis is creeping out of the financial industry into other industries right now.
I am a little worried that we could be at the beginning of a chain reaction that may not stabilize for a couple of years. and over that couple of years many many businesses could fail. Read much of your wealth (in stocks and bonds) could be wiped out permanently.