On this page...
About the Author John Kenneth Galbraith (1908-2006)
- From 1941 to 1943: served as deputy director of the United States Price Administration.
- 1946: President Truman awarded the Medal of Freedom
- From 1961 to 1963: served as the US ambassador to India.
- In 1972, he was elected chairman of the American Economic Association.
- In 1997, he won the Robert Kennedy Book Award for Lifetime Achievement in Canada.
- August 2000: President Clinton was awarded the Medal of Freedom.
- 2001: Received the Padma Vibhushan Award (India's second-highest honorary citizenship award) in recognition of its contribution to economic cooperation between India and the United States.
Excerpts from the original text: The Great Crash 1929
The Great Crash 1929 Book Summary
The Great Crash 1929 Book Review
- the per capita output of manufacturing workers increased by about 43%;
- 5.34 million cars were produced (and only 5.7 million in 1953);
- the GDP in 1933 was less than 1/3 of that in 1929.
- Uneven income distribution: In 1929, the highest income group, which accounted for 5% of the U.S. population, accounted for 1/3 of the total personal income of the United States. In 2007, the income difference between the highest 20% of the population and the lowest income group in a certain country was about 18 times, family assets exceeded A certain country’s households worth 1 million US dollars reached 391,000 last year, and the total assets held reached 1.4 trillion US dollars.
- Unreasonable company structure: With the huge structure of holding companies and investment trusts, deflation will accelerate the collapse of the company’s pyramidal organizational structure.
- The bank structure is unreasonable.
- In 1928, the U.S. trade surplus was as high as 1 billion U.S. dollars, much higher than the 37.5 million in 1923 and 1926. The trade surplus must be balanced regardless of its size. The country’s 2008 trade surplus was 295.5 billion US dollars.
- The lack of economic knowledge can be seen in the NC recommendations at the two sessions.
Crashing (it is interesting to ignore it)
- In November 1929, this recession, whether it is the stock market or the economy, was not a precursor to an economic collapse;
- In December, we expect the economy to recover in the spring of next year and further improve in the fall;
- In January 1930, there were signs that the most severe phase of this recession had passed;
- April and March, based on past contractions Judging from the future, the manufacturing industry must be recovering now;
- May and March, the outlook is still favorable;
- June and April, the spring recovery to May and June should be clear;
- July and May, this month or next In August, the economy will improve further and will recover strongly in the third quarter or at the end of the year to a much better-than-normal level;
- In August and June, although there will be some repetitions in the recovery process, the economy will soon improve;
- In September and July, unexpected factors delayed the recovery, but there are signs that a continuous improvement will occur immediately;
- In October and August, the depression is almost exhausting;
- In November and November, we are now close to the depression stage. The end;
- In October one year later, the depression is obviously likely to stabilize;
- Society was forced to disband, and Harvard economists no longer predict the future.
Experts from a certain country:
- In December 2007, Cheng Siwei, former vice-chairman, tomorrow is a slow bull market;
- In January 2008, the Academy of Social Sciences released the Social Blue Book: The most difficult stage of employment has passed;
- January 2008, 60 economists A prediction was made on the economic situation of a country in 2008. Among them, 73.4% of scholars believe that the GDP growth rate of a country in 2008 will remain above 10%. This result reflects the confidence of most economists in a country’s economic prospects;
- March 2008, Ma Jun, chief economist for the Greater China region of Deutsche Bank, said that the CPI for the whole year of this year will be raised from the original 6.4% to 7.2%, and it is expected that in order to curb inflation, the government will have a more aggressive monetary policy;
- 2008 In May, freelancer Xie Guozhong: The worst stage has not yet passed;
- In May 2008, Li Jiange, deputy director of the Development Research Center of the State Council, faced six major challenges in macro-control: relative excess of capital;
- In October 2008, the Chinese Academy of Social Sciences predicted GDP Increase of 10.1%, CPI was 6.5%;
- In November 2008, it is expected to be 8% to 9% far higher than investment bank expectations. Zhou Xiaochuan optimistically predicts next year’s GDP;
- In November 2008, the fiscal policy changed from “stable” to “proactive”. Monetary policy changed from “tight” to “moderately loose”;
- In February 2009, Ba Shusong, deputy director of the Institute of Finance of the Development Research Center of the State Council: The worst time for a country’s economy has passed.
- In February 2009, fund managers Unanimously issued this declaration: "The worst moment of the market has passed."
Correction after crash:
- Between 1929 and 1948, the highest income group, equivalent to 5% of the American population, accounted for 1/3 of personal income, and dropped to 1/5;
- 1929~1950 In 2015, the relative amount of income unique to the wealthy, such as dividends, interest, and rent, dropped from 22% of total household income to 12%;
- Investment trusts collapsed and were blocked;
- Destroyed large public utility holding companies Pyramid organizational structure;
- Americans’ economic knowledge has increased.
Discover literary treasures at ReadingAndThinking.com – your ultimate destination for insightful book recommendations and reviews!
Please Share These Resources with Colleagues, Friends, and Family.