Using previous economic downturns to better understand this one is prudent. However I find it doubtful that the economy will rebound on the same old path. In part I believe this is due to the unprecedented environmental challenges civilization faces. Moreover China and India seek to attain a western lifestyle for their people. Most nations wish to raise their standard of living to the level of western societies. These are opposing interests.

Ultimately public clamor to address climate change and increasing demand for finite resources will add to inflationary pressures certain to follow the massive borrowing by governments. Austerity, rationing and government directed investment on a global scale may prove necessary to achieve these goals.

Perhaps it is time we take a good look at economic policies from 1939 thru 1945 and pay less attention to the New Deal. I believe we discover a better approach to restoring economic health and building a middle class.