THE RETURN OF DEPRESSION ECONOMICS (Essay)

Is like some bacteria, which usually caused deadly plagues but which long ago they were consider dominated by the modern medicine, they were re-arising under a resistant form to all the standard antibiotics1. The economies have developed cycles during the pass of the times, peaks and vales that evidently have taken us to depressions, inflation, hyperinflations; up to moments gilded in which there through have been lived events of financial expansion and surplus. In last century we cross for booms that have marked positively to some countries and have destroyed others evidently, which in turn has left to us long effects and repeated reflections what apparently is a closed way where we cannot already continue. The history does part of the human being and it is the legacy to develop in our future. Way to globalized markets around the demand and the offer, which have led to rejecting in a lot of time the marks of the past. At present the speculations, the gossip, the disabilities or in last the political and economic disinformation have done in the global economy the destructive event for its prevailing crisis. Asia, Europe, Latin America and even the United States are experiencing economic bubbles that have generated speculative leadership demonstrating a crisis as a result of their environment and at the worst (groundless risks) the deterioration of their economies. When these crisises come to a country, Mexico (Tequila case crisis), Brazil, Argentina, Chinese Dragons (Asia) Japan, between the most outstanding, it dismantles one more problem of fund, and it is the medicine with which we are attacking the virus the one that is not serving to support the victims, but increasingly to deteriorate more up to destroying the victim.

1. KRUGMAN Paul. The return of Depression Economies, page 12

- That is to say, a private insufficient expense that doesn't use the productive available capacity - it has turned into a clear and obvious restriction for the prosperity of a major part of the world.2 Errors in the political ones of rescue, non- fiscal measured, high valuations of interest, public expenditure, and inflation have led that the countries in problems remain short to endless number of symptoms product of the virus of the economy of the great depression. Increasingly it is protected or shelters in the imaginary bridge of the bonds of the treasure of the United States, and is looked the well of few ones and the abandonment of the real crisis of the affected countries denigrating the offer that is ready to go out forward. The economies will be always fluctuating and the margin of risk will play an important role that touches strongly the labor investments. This XXI century has big goals and the essential target to manage not to fall down or to move between depressions. The changes are slow but to measurement in which the ideal one of balance settles we will see like economies re-arise from its deterioration. On the other hand it hasnt been known that the economy is the big one that includes and pushes many sectors, even in these days the president of the United States declared that there were standing out the investments in the military forces demonstrating an emergent problem in the mortgage crisis in the above mentioned country. Pitifully the economies contaminated by political advantages, armament and social have taken the burden of the small emergent economies. We need changes of medicines that take us to the reestablishment of the vital signs of our countries.

2. KRUGMAN Paul. The return of Depression Economies, page 239

PAVEL FERREIRA DIANA MORENO FERNANDO BORNACELLI