So you think THIS recession is bad?

[ADL Colin]

I have this newspaper from March 9, 1933. Here are some highlights.

"All banking institutions under the supervision of the State Banking Commissioner are authorized to pay $10 to depositors who can prove they are in need for food, fuel, medicine and other necessities"

"Washington asks for names of all who have withdrawn currency or gold in sizable amounts from banks in new England since January 1".

"Food situation eases"

"The President is said to have asked for practically dictatorial powers over the banking situation and to rule by proclamation until congress can act"

I thought this was interesting ...
"3500 Shoe Strikers Return to Work" .. "The 12 firms which came to terms today with their operatives granted no pay increases but agreed to recognize the union"

[notoldschool]

makes me feel all warm and cozy. Glad i was not around then.

[HorseShit]

pretty shitty everywhere

[ADL Colin]

There's also an article announcing that a "Nazi Flying Corp" has been formed in Germany.

Goering's name is mentioned. The slogan was
"Help In Achieving Full Liberation From the Fetters Of The Infamous Versailles Treaty"

Oh, and there's an ad for a dozen jelly doughnuts for 15 cents. Normally 25 cents.

[Rochard]

There's also an article announcing that a "Nazi Flying Corp" has been formed in Germany.

That's a sign of very bad things to come!

Sorry, I don't think this is all that bad. On my block of 40 houses, 15 of them are empty - most of them in forclousure. Yet every time I go to the store or out to eat, there are people everywhere spending money. Until my home town here opens up a soup kitchen, I think we'll get by.

[StuartD]

Wait, you're comparing a recession to a depression?

If this recession worsens (over the next 3-4 years) to the point where there is total collapse, please feel free to make another more accurate comparison.

[BradM]

Local eateries are packed. Movie theaters are full and there's no sign of people selling cars and stopping driving.

In Southern California, I have seen no sign of a recession let alone a depression.

[Carmine Raguso]

Local eateries are packed. Movie theaters are full and there's no sign of people selling cars and stopping driving.

In Southern California, I have seen no sign of a recession let alone a depression.

gee, go easy there lol

[LAJ]

Oy vey.. I remember the bread lines back then and selling pencils and apples. With FDR's fireside chats we had hope on our side.

[Ethersync]

I have this newspaper from March 9, 1933. Here are some highlights.

"All banking institutions under the supervision of the State Banking Commissioner are authorized to pay $10 to depositors who can prove they are in need for food, fuel, medicine and other necessities"

"Washington asks for names of all who have withdrawn currency or gold in sizable amounts from banks in new England since January 1".

"Food situation eases"

"The President is said to have asked for practically dictatorial powers over the banking situation and to rule by proclamation until congress can act"

I thought this was interesting ...
"3500 Shoe Strikers Return to Work" .. "The 12 firms which came to terms today with their operatives granted no pay increases but agreed to recognize the union"

That is like 4 years into the great depression. We are just getting started now...

[Penthouse Tony]

Oy vey.. I remember the bread lines back then and selling pencils and apples. With FDR's fireside chats we had hope on our side.

You look really good for your age. What's your secret?

[ADL Colin]

Wait, you're comparing a recession to a depression?

If this recession worsens (over the next 3-4 years) to the point where there is total collapse, please feel free to make another more accurate comparison.

Wow, you got it! go get a cookie now.

[Tom_PM]

Isn't it true that if we calculated unemployment the same way they did in 1930, we'd be at double digit unemployment easily?

Maybe less people "notice" because there is a wider gap between the two classes: rich and poor?

Just throwing those out there, because I dont freaking know, these are speculations I've heard is all. Better minds can slice and dice it all up.

[Ethersync]

Isn't it true that if we calculated unemployment the same way they did in 1930, we'd be at double digit unemployment easily?

Maybe less people "notice" because there is a wider gap between the two classes: rich and poor?

Just throwing those out there, because I dont freaking know, these are speculations I've heard is all. Better minds can slice and dice it all up.

Yes, unemployment is calculated differently now. So is inflation and GDP...

[ADL Colin]

Isn't it true that if we calculated unemployment the same way they did in 1930, we'd be at double digit unemployment easily?

The thing to understand about current unemployment data is there are 6 different definitions of unemployment and then you have seasonally adjusted figures and non-seasonally adjusted. The definitions run from U-1 to U-6. There are seasonal adjustments because it is easier to compare for example December to January when the effects of Christmas hiring are removed.

The common definition used in the United States is U-3. The current non-seasonally adjusted unemployment numbers run from 3.1 to 15.4% depending on which definition you use. The common definition (U-3) is currently 8.5%. The seasonally adjusted numbers run from 3% to 13.9% and the headline U-3 number is 7.6%.

Unemployment data before 1940 is just educated guesswork. There is no reliable way to compare data across 1940 though there was a census of sorts in 1937. Since 1940 there has been the "Current Population Survey"; a rather large reliable survey. The basic definition of unemployment that you hear about today has not really changed much since 1940 though occasionally the question has been changed slightly. Like asking "Are you looking for a job" vs "Were you looking for a job last week"? There is one study that shows you should add .2% to today's unemployment figures to compare to numbers before the 90s. This is because there were changes to the way the survey was collected and it seems to have introduced a negative .2% bias in the data.

To me the best way to look at the data and say, compare recessions, is to look at the baseline numbers before, after and during the recessions. How much do they change?