Originally Posted by Wheeldog

The stock market crash of 1929 was preceeded by a gradual build up of negative financial events over an extended period of time. When these pressures reached a critical mass, they set off economic avalanches sweeping away the wealth of investors and institutions and undermining the economic foundation of the nation. Intially, the change seemed gradual, and most folks figured things were OK. However, in 1929 a tipping point was reached, and it all fell apart with breath taking swiftness.

History may be repeating itself. The sequence of events and underlying causes differ, but the process is familiar. The past several years have been a modern version of the Roaring 20's that preceeded the Great Depression. We have been on an unsustainable spending spree living high on make believe money in the form of credit and inflated property values. In the process we developed an excessively consumptive lifestyle requiring enormous supplies of oil and other finite resources. Now, there are signs that this economic house of cards is teetering. Most people choose to ignore the warning signals preferring to believe that the party can go on forever.

If we are indeed at an economic tipping point, it could set off a financial event that could dwarf the Great Depression. Folks in the 1930s experienced extreme hardship. However, the country still had plenty of oil, open land, and other basic resources to rebuild the economy. The factories were there waiting to be reopened and fired up. Most people were experienced in growing food, repairing equipment and even making their own clothes. They lived in fairly compact communities and didn't need private cars for work or shopping. The Great Depression lasted about 10years and only ended with the start of WWII. It has been suggested the next major economic collapse might be called the Greater Depression.