Comments on: ‘We’re Spending More Than Ever and It Doesn’t Work’ http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/ Fri, 10 Feb 2012 20:30:50 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Let me try to put some FDR things into a perspective... http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-324425 Let me try to put some FDR things into a perspective... Thu, 21 Jul 2011 17:25:01 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-324425 [...] and regulation that prolonged the Depression. FDR's Treasury Secretary, Henry Morgenthau, admitted: "We have tried spending money. We are spending more than we have ever spent before and it [...] [...] and regulation that prolonged the Depression. FDR's Treasury Secretary, Henry Morgenthau, admitted: "We have tried spending money. We are spending more than we have ever spent before and it [...]

]]> By: Koblog http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-234850 Koblog Mon, 08 Nov 2010 00:53:03 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-234850 Good job, Jared! <i>Excellent</i> try. The quote's from the FDR library. Good source, I'd say. As for WWII ending the Depression, that's bogus, too. You cannot have a nation build a gigantic war machine using debt, then send that machine to be destroyed in battle or rust to oblivion afterward and consider that "employment." We actually did not return to prosperity until the 50's and that was because we were the last means of production in the world. England, France, Germany, Russia and the rest of Europe had literally been burned down, as was Japan. China, Korea and the Soviet Union had no ability to be world-class industry. Only America had working factories and the people and desire to man them. That's when the Depression ended. Good job, Jared! Excellent try. The quote's from the FDR library. Good source, I'd say.

As for WWII ending the Depression, that's bogus, too. You cannot have a nation build a gigantic war machine using debt, then send that machine to be destroyed in battle or rust to oblivion afterward and consider that "employment."

We actually did not return to prosperity until the 50's and that was because we were the last means of production in the world. England, France, Germany, Russia and the rest of Europe had literally been burned down, as was Japan.

China, Korea and the Soviet Union had no ability to be world-class industry.

Only America had working factories and the people and desire to man them. That's when the Depression ended.

]]> By: Jared http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-170655 Jared Wed, 11 Aug 2010 10:22:04 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-170655 Actually, the quote's not bogus, and what looks like damning poor math is only the result of the quote being incomplete. It's an "if after eight years," not an "after eight years of this." It's not Congressional testimony, either, it's a transcript from a private meeting between two Senators and Morgenthau. Here's the full quote, thanks to Steven Horwitz. As you can see, the full quote is quite a bit stronger in its condemnation of FDR's policies: [U.S. Treasury Secretary Henry Morgenthau, Jr.]: No, gentlemen, we have tried spending money. We are spending more than we have ever spent before and it does not work. And I have just one interest, and if I am wrong, as far as I am concerned, somebody else can have my job. I want to see this country prosperous. I want to see people get a job. I want to see people get enough to eat. We have never made good on our promises… But why not let’s come to grips? And as I say, all I am interested in is to really see this country prosperous and this form of Government continue, because after eight years if we can’t make a success somebody else is going to claim the right to make it and he’s got the right to make the trial. I say after eight years of this Administration we have just as much unemployment as when we started. Mr. Doughton: And an enormous debt to boot! HMJr.: And an enormous debt to boot! We are just sitting here and fiddling and I am just wearing myself out and getting sick. Because why? I can’t see any daylight. I want it for my people, for my children, and your children. I want to see some daylight and I don’t see it… —Transcript of private meeting at the Treasury Department, May 9, 1939, F.D. Roosevelt Presidential Library Horwitz, Steven. "Great Apprehensions, Prolonged Depression: Gauti Eggertsson on the 1930s." Econ Journal Watch 6.3 (2009): 313-36. Web. 10 Aug 2010. Actually, the quote's not bogus, and what looks like damning poor math is only the result of the quote being incomplete. It's an "if after eight years," not an "after eight years of this." It's not Congressional testimony, either, it's a transcript from a private meeting between two Senators and Morgenthau.

Here's the full quote, thanks to Steven Horwitz. As you can see, the full quote is quite a bit stronger in its condemnation of FDR's policies:

[U.S. Treasury Secretary Henry Morgenthau, Jr.]: No, gentlemen, we have

tried spending money. We are spending more than we have ever spent

before and it does not work. And I have just one interest, and if I am

wrong, as far as I am concerned, somebody else can have my job. I want

to see this country prosperous. I want to see people get a job. I want to

see people get enough to eat. We have never made good on our

promises…

But why not let’s come to grips? And as I say, all I am interested in

is to really see this country prosperous and this form of Government

continue, because after eight years if we can’t make a success somebody

else is going to claim the right to make it and he’s got the right to make

the trial. I say after eight years of this Administration we have just as

much unemployment as when we started.

Mr. Doughton: And an enormous debt to boot!

HMJr.: And an enormous debt to boot! We are just sitting here and

fiddling and I am just wearing myself out and getting sick. Because why?

I can’t see any daylight. I want it for my people, for my children, and

your children. I want to see some daylight and I don’t see it…

—Transcript of private meeting at the Treasury Department, May 9,

1939, F.D. Roosevelt Presidential Library

Horwitz, Steven. "Great Apprehensions, Prolonged Depression: Gauti

Eggertsson on the 1930s." Econ Journal Watch 6.3 (2009): 313-36. Web.

10 Aug 2010.

]]> By: Why Mr. Obama Will never Serve a Second Term | SBRC Blog http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-160904 Why Mr. Obama Will never Serve a Second Term | SBRC Blog Tue, 03 Aug 2010 14:27:53 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-160904 [...] Morganthau, Treasury Secretary under Franklin Roosevelt, admitted, “”We have tried spending money. We [...] [...] Morganthau, Treasury Secretary under Franklin Roosevelt, admitted, “”We have tried spending money. We [...]

]]> By: Greece… Spending and Revenue « incapp.org http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-105877 Greece… Spending and Revenue « incapp.org Sun, 18 Apr 2010 14:47:57 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-105877 [...] will lament, ‘how could this possibly have happened?’ Ignoring the lessons of Greece, FDR’s America, and the Stagflation Jimmy Carter and the Democrats visited on the USA in the late 1970’s, [...] [...] will lament, ‘how could this possibly have happened?’ Ignoring the lessons of Greece, FDR’s America, and the Stagflation Jimmy Carter and the Democrats visited on the USA in the late 1970’s, [...]

]]> By: A Funny Thing Happened On the Way to the Handout! - Page 5 - NY Sports Day Forums http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-103906 A Funny Thing Happened On the Way to the Handout! - Page 5 - NY Sports Day Forums Wed, 07 Apr 2010 00:25:46 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-103906 [...] [...] [...] [...]

]]> By: Lower Taxes, Increasing the Deficit or WWIII | Political Integrity Now http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-59021 Lower Taxes, Increasing the Deficit or WWIII | Political Integrity Now Sat, 03 Oct 2009 04:03:21 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-59021 [...] President Franklin D. Roosevelt — and key architect of FDR’s New Deal, Henry Morgenthau Jr, the New Deal did not work.  As quoted by Henry Morgenthau Jr, an instrumental participant in setting up the WPA: “We [...] [...] President Franklin D. Roosevelt — and key architect of FDR’s New Deal, Henry Morgenthau Jr, the New Deal did not work.  As quoted by Henry Morgenthau Jr, an instrumental participant in setting up the WPA: “We [...]

]]> By: Rick, Michgan http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-45226 Rick, Michgan Wed, 29 Jul 2009 14:22:22 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-45226 The Morgenthau quote is bogus – do the math professor: FDR was only in office for SIX years in 1939 not EIGHT. FDR took office in 1933. Other than the un-sourced quote in Folsom book, “New Deal or Raw Deal?: How FDR’s Economic Legacy Has Damaged America” the quote cannot be found. Supposedly, Morganthau made the statement in a Congressional hearing May, 1939. A simple trip to a good library to review the Congressional Record reveals that he NEVER MADE THE STATEMENT. Nice try. The Morgenthau quote is bogus – do the math professor: FDR was only in office for SIX years in 1939 not EIGHT. FDR took office in 1933. Other than the un-sourced quote in Folsom book, “New Deal or Raw Deal?: How FDR’s Economic Legacy Has Damaged America” the quote cannot be found.

Supposedly, Morganthau made the statement in a Congressional hearing May, 1939. A simple trip to a good library to review the Congressional Record reveals that he NEVER MADE THE STATEMENT. Nice try.

]]> By: Missing Links, June 2nd Edition « Nuke ‘m Hill http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-35175 Missing Links, June 2nd Edition « Nuke ‘m Hill Wed, 03 Jun 2009 01:52:18 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-35175 [...] “We’re Spending More Than Ever and It Doesn’t Work“, at The Heritage Foundation.  Secretary of the Treasury for … FDR, in 1939.  Yet, the Keynesians persist in their attempts to bankrupt the country. [...] [...] “We’re Spending More Than Ever and It Doesn’t Work“, at The Heritage Foundation.  Secretary of the Treasury for … FDR, in 1939.  Yet, the Keynesians persist in their attempts to bankrupt the country. [...]

]]> By: Kevin http://blog.heritage.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-32526 Kevin Thu, 14 May 2009 19:05:35 +0000 http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/#comment-32526 [...] http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/ [...] [...] http://www.foundry.org/2009/01/14/were-spending-more-than-ever-and-it-doesnt-work/ [...]

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