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Q: Causes of the Great Depression ( Answered,   0 Comments )
Question  
Subject: Causes of the Great Depression
Category: Reference, Education and News > Education
Asked by: buultje-ga
List Price: $4.50
Posted: 26 Apr 2004 16:26 PDT
Expires: 26 May 2004 16:26 PDT
Question ID: 336663
Hi, I'm looking for a scholarly article that comes from a history
journal or other credible sources, that gives an interpretation of the
causes of the Great Depression.  The article has to contrast to the
interpretation offered in my textbook because I have to write a debate
paper.  The historian in my textbook believes the causes of the Great
Depression are the following  1)Lack of diversification in the
American economy in 1920s.  2) Maldistribution of purchasing power,
and in result a weakness in consumer demand 3) Credit structure of the
economy 4)America's position in international trade (from Alan
Brinkley, American History).  It has to be a contrary opinion of this
historian.
Answer  
Subject: Re: Causes of the Great Depression
Answered By: omnivorous-ga on 26 Apr 2004 16:54 PDT
 
Buultje --

Both Milton Friedman and his mentor, Austrian economist Friedrich
August von Hayek, both argued that monetary policy and interference by
governments created and deepened the Great Depression.

A good way to introduce yourself to the topic is to hear Friedman talk
about the Great Depression in the is PBS interview:
Public Broadcasting Service
"Measurements & Myths of the Great Depression" 
http://www.pbs.org/fmc/interviews/2seg1.htm

Friedman's landmark book tied the Great Depression to the failure of
the Federal Reserve to adjust the money supply to conditions in his
book (co-written with Anna Schwartz), "A Monetary History of the
United States, 1867-1960" Princeton University Press, 1963.  You can
find analyses and supporting articles (including articles by Milton
Friedman) in numerous places:

Liberty Haven
"The Mysteries of the Great Depression Finally Solved" (Skousen, July, 1997)
http://www.libertyhaven.com/theoreticalorphilosophicalissues/economichistory/mysteries.shtml

European Central Bank
"The Great Depression and the Friedman-Schwartz Hypothesis,"
(Christiano et al, March 2004)
http://www.ecb.int/pub/wp/ecbwp326.pdf

The Federal Reserve Board
"Money, Gold and the Great Depression," (Bernanke, March 2, 2004)
http://www.federalreserve.gov/boarddocs/speeches/2004/200403022/default.htm

Several of Hayek's articles are noted in this Google Answer.  Hayek
may make an even MORE interesting case than Friedman because of
willingness to directly argue policy issues with John Maynard Keynes:
Google Answers
"Hayek's View of the Causes of the Great Depression,"  (Omnivorous, Mar. 20, 2004)
http://answers.google.com/answers/threadview?id=318354

A Google search strategy using the following will yield thousands of
links, many to academic articles and journals:
"Milton Friedman" + "Great Depression"

Best regards,

Omnivorous-GA
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