Tariffs Would Lead to A Great Depression?

I was watching the news about Trump's Tariffs and I saw this screenshot about how the last time US tariffs were this high the Great Depression (GD) followed and some economists believe the tariffs were the cause.

It looks really crazy/scary, but then I remembered the news is all about reporting matters in a way they grab your attention, and that is mostly achieved by stoking fear and excitement, etc.

Looking at this, one might feel they're supposed to be afraid that a new GD may be on the way, or at least something close to it. I felt like that too initially but I went ahead to resd about the old GD and realized that the situation that was on ground back then is not the same as what we have today.

These are very different times and so the chances of a repeat is not as high as that screenshot would scare you into thinking. The major differences I found that calmed me down are the following:

• The GD was Preceded by the roaring 20s: The roaring 20s was the 1920s, after the first World War. The GD is said to have began in the 30s, from 1929 upwards.

The roaring 20s was a great period of economic prosperity and boom, then a crash came. We've not had any great prosperity/boom before now so this makes now and then very different times!

Years of prosperity so great it had to be nicknamed the roaring 20s surely makes a lot of difference.

• The GD is said to have started even before the tariffs, and the tariffs are said to have worsened it rather than lead to it: The GD is said to have started with the Wall Street stock market crash of October 1929 while the tariffs came in 1930.

There are a lot of other economic perspectives, views and speculations that explain the GD and you can read up on them, but these ones I've talked about now are basic things that are easily understandable and they satisfy your need to see that those were different times and these tariffs might not be as scary as that screenshot.

Shalom 🌚🌚.

The End

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