The Correlation Between the Great Depression, and the Depression of the Millennium

It has often been said that history has a tendency to repeat itself. This has most often been thematic with the state of our nation's economy. As with any other aspect of the nation, there are apparent parallels in two specific time periods of the American economy that resemble one another greatly. The correlation between the effects that led up to the Great Depression of the 1930's and the new Millennium's economic slump are uncanny. These correspondent factors are proof that American economics have repeated their patterns since the inception of the nation, with no signs of ceasing.

While the Great Depression was an example of turmoil and economic disparity for nearly an entire decade following the "roaring twenties," the Dot-Com failure of the new Millennium was similarly overwhelming in effects. Without fail, the United States has hit a recession every few decades, and thus was the case in the late 1990's to early 2000's fiasco. Although, the Great Depression in the 1930's has often times sparked debate as to its causes; there are a number of sound causes that correlate directly to the Millennium slump. From war reparations, lavish lifestyles, pools/speculation of the stock market, manipulation of the market and the rapid ballooning of the economy, emerge the similarities between the two economic slumps.

One can first begin with analyzing the relationship of the war reparations in the twenties, to that of the nineties. The World Community had suffered greatly, both in the cases of retaliatory tariffs, as well as the war debts of European countries following War World I. Much like in that time period, the United States' belief that it was self-sustaining, and could sustain the economies of all war ravaged countries, inevitably hurt the American Economy. Such ideologies are precisely what affected the economy during the nineties. Upon the completion of the first Gulf War, Iraq accepted UN Security Council resolution 687, which declared Iraq financially liable