Tag Archives: Richard Posner

Are we in a depression?

Yes we are says Richard Posner in his latest book.

The word itself is taboo in respectable circles, reflecting a kind of magical thinking: if we don’t call the economic crisis a “depression,” it can’t be one. But no one who has lived through the modest downturns in the American economy of recent decades could think them comparable to the present situation. … It is the gravity of the economic downturn, the radicalism of the government’s responses, and the pervading sense of crisis that mark what the economy is going through as a depression.

Posner expands on this in a recent interview over at the Freakonomics blog at the New York Times.