THE GREAT DEPRESSION OF 1929–1933: DEVELOPMENT OF APPROACHES TO MACROECONOMIC REGULATIONDURING CRISIS
DOI:
https://doi.org/10.22394/2304-3369-2021-3-49-60Keywords:
The Great Depression, economic crisis, macroeconomic regulation, monetary policy, fiscal policy, anti-crisis policyAbstract
The problem of state regulation during the crisis is one of the most urgent today. The experience of recent decades has shown that many tools of anti-crisis regulation in the current economic environment require a revision of approaches. At the same time, the experience of the Great Depression and the emergence of instruments of macroeconomic regulation in the context of both the crisis and the stable economic environment remain relevant to this day. On the one hand, many of the mistakes of macroeconomic policy made in the United States in the period of 1929–1933 are repeated by some modern governments. On the other hand, it is obvious that many modern realities are similar to those of the economic crisis that arose a century ago. In this regard, it seems relevant to review the period of the “Great Depression” from the point of view of identifying the main instruments of macroeconomic regulation and determining the degree of their effectiveness and efficiency in the modern economy.
This article is devoted to the analysis and assessment of macroeconomic regulation in the United States
during the Great Depression. The subject of this research is the US macroeconomic policy in the period of 1929–1933 from the point of view of the formation of key instruments of state regulation in the time of crisis. The methodological basis of the research is a review of theoretical and practical research works to reveal the development of instruments of macroeconomic regulation during crisis that are described in the scientific literature. The key goal of the study is to identify and assess the main instruments of macroeconomic policy during the crisis of the Great Depression in the USA. The result of the study is the conclusion that macroeconomic regulation in times of crisis is always ambiguous in terms of the efficiency and optimality of its application. This, in turn, requires the development of new optimal instruments of macroeconomic regulation that meet the current challenges of the economy.
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2. Haberler G. (1937). Prosperity and Depression: A theoretical analysis of cyclical movements.
3. Kennedy D.M. (2001). Freedom from Fear: the American People in Depression and War, 1929— 1945. New York; Oxford: Oxford University Press. 988 p.
4. President’s Research Committee on Social Trends: Recent Social Trends in the United States (Westport, Conn.: Greenwood, 1970).
5. Labor force employment and unemployment: 1929–39 estimating methods. URL: https://www.bl s.gov/opub/mlr/1948/article/pdf/labor-force-empl oyment-and-unemployment-1929-39-estimating- methods.pdf (accessed 01.06.2021).
6. President’s Research Committee on Social Trends: Recent Social Trends in the United States (Westport, Conn.: Greenwood, 1970).
7. Kennedy D.M. (2001). Freedom from Fear: the American People in Depression and War, 1929– 1945. New York; Oxford: Oxford University Press. 988 p.
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35. Reinhart C.M., Rogoff K. (2009). This time Is Different: Eight Centuries of Financial Folly, Princeton University Press.
