Zeev's Turnips Talk Politics (ZTTP)

[thepennyking]

Why a depression could happen

by Thomas I. Palley

ECONOMISTS are hardly renowned for their ability to predict the economic future. In 1929 Irving Fisher, perhaps the greatest of all American economists, confidently predicted that the stock market would go on to new highs and that the expansion of economic prosperity would continue, with no end in sight. Less than two months later came the crash; the economy had already entered what was to become the Great Depression. Published in 1987, Ravi Batra's best-selling The Great Depression of 1990 predicted just what the title says. So much for predictive accuracy.

http://www.theatlantic.com/issues/96jul/depress/depress.htm