Becker: We're Not Headed for a Depression

Nobel laureate Gary Becker wrote We're Not Headed for a Depression in the Wall Street Journal:

"First of all, the magnitude of this financial disturbance should be placed in perspective. Although it is the most severe financial crisis since the Great Depression of the 1930s, it is a far smaller crisis, especially in terms of the effects on output and employment. The United States had about 25% unemployment during most of the decade from 1931 until 1941, and sharp falls in GDP. Other countries experienced economic difficulties of a similar magnitude. So far, American GDP has not yet fallen, and unemployment has reached only a little over 6%. Both figures are likely to get quite a bit worse, but they will nowhere approach those of the 1930s."

It's a good (short) article but it was written 2 days ago, so who knows if it still holds.