venuzuala...

[Burgerman]

why did capitalism go into crisis in the 1930s? What makes you convinced it can't happen again?

Capitalism HAD NO CRISIS. And for what its worth, the 30s in your worst ever recession/depression, would have been a place to attempt to reach and live if you happened to have lived in any of the worlds "big government" centrally controlled socialist economies. Tens of millions died. Hundreds of millions suffered the sort of poverty your country has never seen. And they had nothing. No freedoms. No food. No anything. For decades on end. In the end around a third of the planet collapsed. They would jhave only dreamed of your "great temporary depression".

You are on another wavelength. Capitalism. A terrible system. But massively better than all the rest!

[Burgerman]

First. Understand that your "great depression" was just a couple of years were you were not as rich as before. But in a WAY better situation than almost all non capitalist countris all the same. And that it was temporrary. And that 20 million didnt starve!

Then....

Not me. But I comment here.

1. Stock Market Crash of 1929 - Many believe erroneously that the stock market crash that occurred on Black Tuesday, October 29, 1929 is one and the same with the Great Depression. In fact, it was one of the major causes that led to the Great Depression. Two months after the original crash in October, stockholders had lost more than $40 billion dollars. Even though the stock market began to regain some of its losses, by the end of 1930, it just was not enough and America truly entered what is called the Great Depression.

So partly caused by living beyond your means. At least you get the CHOICE to do that in the capitalist democratic companies! Sure beats the alternative.

2. Bank Failures - Throughout the 1930s over 9,000 banks failed. Bank deposits were uninsured and thus as banks failed people simply lost their savings. Surviving banks, unsure of the economic situation and concerned for their own survival, stopped being as willing to create new loans. This exacerbated the situation leading to less and less expenditures.

So people And businesses all living beyond their means. As usual. Thats not the fault of capitalism. Its the fault of greedy humans! Again you get this choice right?

3. Reduction in Purchasing Across the Board - With the stock market crash and the fears of further economic woes, individuals from all classes stopped purchasing items. This then led to a reduction in the number of items produced and thus a reduction in the workforce. As people lost their jobs, they were unable to keep up with paying for items they had bought through installment plans and their items were repossessed. More and more inventory began to accumulate. The unemployment rate rose above 25% which meant, of course, even less spending to help alleviate the economic situation.

Unable to pay for things that they bought before thay saved for it. That sounds a lot like a society living above the level that they were actually capable off. The depression, was a leveling out. Putting people back at the level they were actually producing goods and money. The bubble burst. Living beyond you means. It wasnt the depression that was odd, it was the fact that everyone was living a higher standard of living than they could actually afford!

4. American Economic Policy with Europe - As businesses began failing, the government created the Smoot-Hawley Tariff in 1930 to help protect American companies. This charged a high tax for imports thereby leading to less trade between America and foreign countries along with some economic retaliation.

So again. The OPPOSITE to free trade. The OPPOSITE to capitalist ways of trading. And you get a depression? What did you expect!

5. Drought Conditions - While not a direct cause of the Great Depression, the drought that occurred in the Mississippi Valley in 1930 was of such proportions that many could not even pay their taxes or other debts and had to sell their farms for no profit to themselves. The area was nicknamed "The Dust Bowl." This was the topic of John Steinbeck's The Grapes of Wrath.

So thats capitalisms fault too right?

[Irving]

...

5. Drought Conditions - While not a direct cause of the Great Depression, the drought that occurred in the Mississippi Valley in 1930 was of such proportions that many could not even pay their taxes or other debts and had to sell their farms for no profit to themselves. The area was nicknamed "The Dust Bowl." This was the topic of John Steinbeck's The Grapes of Wrath.

So thats capitalisms fault too right?

Interestingly, some view that the drought was the result of over-farming, cutting down trees to open up the land removed natural wind breaks which then allowed hot winds to develop which dried up the land and forced the water-table further underground causing localised climate change and leading to wind erosion of top soil making once fertile land unusable.

[Burgerman]

But since the planets population has gone up 300% in just my lifetime, and also did the same ever since we discovered farming, then theres a need to do industrial farming. The real issue is that we have gone from a few million, to a monumental 8 billion in a rapid period. This is beneficial for economics. Terrible for the planet, and other things that live on it. We are just the same as the mass ladybird events. And the huge locust swarms that outgrow their food supply.

But I thought it was mostly because of no or rather very little rain documented over a very long time. So ovbiously the economy needed a little climate change. For which you just need to wait a little time. That always changes.

Population explosion.

[Irving]

.

But I thought it was mostly because of no or rather very little rain documented over a very long time. So ovbiously the economy needed a little climate change. For which you just need to wait a little time. That always changes.
.

Yes, that too, but because the trees and other natural barriers were gone what little rain there was soaked away, ran off or dried up much faster than it would otherwise have done. It was a combo of things, it always wassomewhat marginal, but over-farming tipped the balance...

[Burgerman]

So how do you feed a population that grew 5 or 6 times since then?

The answer is technology. Inovation. Education. Science. Reasearch for gain. The things that is driven by the free man who can innovate, and employ, develop, and grow into big industry that can improve crop yield. Edit its genetics to make it immune to desease, grow bigger/faster/with less water, with ever more efficient industrialised mass production of everything. From farm tools like harvesters etc, and irrigation systems, and all the other things that get produced for the socialists dirty word. Profit. Capitalism if allowed to be free drives everything for the better and employs all the non entrapnures... And the competition causes this to ever improve in cost, health, living standards for all. Capitalist business men dont do it to provide jobbs or incomes. Or to better the planet. They see a gap that might make them rich ir richer. And they risk their efforts, houses, health in many cases, to gain wealth. The rest is just the rather effective RESULT of this.

Venuzuala did the opposite. The title of this thread. They voted a daft socialist in due to ignorance. They wanted all the money the rich had. And they got it. Huge transfer of wealth, to the bottom. What a marvelous system this chavez and later muduro had! I gave them two decades to bankrupt the richest countr in south america the day that tit corbin stood up waving his fist shouting: "Hugo Chaves is showing us a better way! Its called socialism!!!" It didnt even take a decade.

Now its in total collapse with inflation so high that its running in the millions of percent. Theres no food or hospitals in huge swathes of the coutry. Many have escaped over the border. Others are starving. Thats what socialism does every single time its ever tried as evidenced across a third of the planet over the last 80 years. Marvelous system till you run out of other people money (c) margaret thatcher.