Friday, April 3, 2009

Don't Buy the Hot Tub Yet!

Hip! Hip! Hurray!

All the news and business gurus are claiming the end of the recession.  The Dow Jones Industrial Average has had its biggest gains since 1933.

Should we be happy?  Maybe.  Maybe not.

It's important to recall that the recession didn't end in 1933.  

Many people who lived through the depression say that it didn't really end until after the Korean War.

If we are in tune to the Dow Jones Average we should remember that the highs reached before the crash in 1929 were not surpassed until about 1953.  Hmm.  That's about the time people say the depression was over.

Many history buffs will point to the New Deal as the prescription to the Great Depression.  Others point to World War II.  

My belief is that the only thing that brought an end to the Great Depression was a change in people.  They started to save and not depend on a sky-rocketing stock market.  They decided to quit waiting for the "government solutions." 

They returned to being Americans, relying on themselves and each other.  

Bailouts, TARPS, stimulus are just ways of doing nothing while spending money.

We have a long way to go.

Hip! Hip! Hurray!

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