Editor’s note: “Those that don’t learn from history…”
From 1920 to 1929 economic collapse that led to the Great Depression, the United States GDP grew 42%. During those nine years, we produced half the world's GDP because World War I had economically and politically devastated Europe. With as many as four hundred million European facing death by starvation, Woodrow Wilson appointed future President Herbert Hoover head of the American Relief Administration with the mission of providing food to Central and Eastern Europe. Hoover made his political bones feeding our allies and enemies and keeping them alive.
As a result of the inevitable post-war transition from war production to civilian production, from Armistice Day on November 11, 1918, to January of 1920, the Dow Jones Industrial Average declined 32% to a low of 63 points. The government did little to stop the decline and the Dow quickly started to rise. From the post war low of 63 points, the Dow rose six-fold to a high of 381 points on September 3, 1929. On Monday, October 28, 1929, and Tuesday, October 29, 1929, the Dow crashed.
The primary cause of the 1929 stock market crash was excessive leverage. After WW I, stockbrokers encouraged individual and institutional investors to buy stock on margin which means the investor paid 10% of the value of a stock and the stockbroker loaned the other 90% which created a debt bubble. Americans, rich and poor, played the stock market. Easy credit on Wall Street created a bubble. That bubble burst causing the biggest economic crash up to that time.
In 1920, after the Dow hit bottom, the government did very little to stimulate the economy. Instead, Andrew Mellon, President Warren Harding's Treasury Secretary, pushed for drastically lower individual and corporate tax rates. Following Mellon's advice, Congress reduced the top marginal income tax rate from 73% in 1921 to 25% in 1925.
Coupled with tax reduction, Harding and Mellon pushed Congress to cut federal spending, which Congress did. Federal spending as a share of GDP fell from 6.5% to 3.5%.
Harding and Mellon also pushed for massive deregulation, which Congress approved.
In 1922, the economy flipped from red to black; unemployment dropped from 12% to 3.3% where is remained until the stock market collapsed in 1929. Lower tax rates, less federal spending, and fewer regulations, led to a substantial increase in tax revenue flowing to the treasury. Andrew Mellon's low tax, low spending, and regulatory relief policies led to a decade of economic growth unmatched in American history up to that point.
Warren Harding died on August 2, 1923, twenty-nine months into his term. Vice President Calvin Coolidge served the remaining nineteen months of Harding's term, and one full term of his own. Coolidge refused to run for a second full term and his tenure ended on March 4, 1929 when Herbert Hoover was inaugurated President.
Andrew Mellon served as Treasury Secretary under Warren Harding, Calvin Coolidge, Herbert Hoover, and for a short time under Franklin Roosevelt.
Between the November 1932 presidential election and Roosevelt's inauguration, when people suggested that Roosevelt keep Mellon on a Treasury Secretary, and that Roosevelt follow Mellon's policy of lower taxes, lower government spending, a lower government regulation as a way out of a severe recession, FDR, the self-anointed savior of the nation, vilified Mellon, stereotyping him as one the Economic Royalists that caused the recession. Franklin Roosevelt took office on March 4, 1933. Mellon resigned on March 17, 1933. Roosevelt turned a deep recession into the Great Depression by doing exactly the opposite of what Mellon did during his eleven years as Treasury Secretary under three Presidents. The Wall Street collapse would have reversed, and was in fact reversing when FDR took office, had Roosevelt not started massive spending federal programs which turned a recession into a depression.
In 1930, during the recession that led to the Great Depression, U.S. GDP dropped 8.5%.
In 1931, when drought led to the Dust Bowl and the collapse of agriculture production, the GDP dropped another 6.4%.
In 1932, Herbert Hoover ignored Mellon's advice to lower taxes and cut federal spending as a way out of the recession. Hoover asked Congress to raise income taxes from 25% to 63% in an effort to reduce the federal deficit. The increased taxes and increased federal spending worsened the recession; unemployment went up and the GDP fell another 12.9%.
When Roosevelt set loose the full force of his New Deal tax and deficit spending plan on the American people in 1933, the U.S. GDP had declined 29%. Unemployment stood at 24.9%. According to Left leaning historians that kowtow at the mention of FDR, the GDP bottomed out at that number; at the same time, unemployment topped out. Not so. Roosevelt's New Dealers doctored the numbers to make the Boss look good. The New Dealers went so far as to tell the world that unemployment was starting a steady downward trend. The Roosevelt Administration counted the unemployed and falsified the numbers. That is easy to prove.
Wishek, North Dakota has an airport. Ashley, North Dakota has an airport. Napoleon, North Dakota has an airport. Linton, North Dakota has an airport. As a kid, I saw the Wishek and Ashley airport beacons flashing white and green every night from the farm where I grew up.
Napoleon is 19 air miles from Wishek and 37 air miles from Ashley. Linton is 28 air miles from Napoleon and 44 air miles from Ashley.
In a 37 by 44 by 27 mile triangle, Roosevelt's New Dealers built four airports that in 85 years have not paid for their initial cost. If I remember correctly, the Wishek and Ashley airports had two or three local users maximum when I was growing up. In total, Roosevelt's New Deal built 81 airports across North Dakota; 76 are still functional; 5 towns have shut down their New Deal money pits.
Hiring the unemployed to building useless projects like 81 airports in North Dakota using tax dollars is how Roosevelt and his New Dealers covered up the actual unemployment numbers which actually topped out at 30%. True, the people employed by the 14 New Deal Alphabet Agencies collected a paycheck, but almost none of the make-work jobs contributed anything of lasting value to the economy. Someone working in a steel plant produces a product that produces additional value as manufacturers turn the steel into useful products, like plows and farm tractors, trucks hauling freight, and cars that provided a back seat for the conception of many Americans.
At this point you might think I went far astray from the title, Background On The U.S. CDC Caused GDP Collapse. I didn't get sidetracked; historic context is important when evaluating the CDC orchestrate COVID hit job on the U.S. GDP.
It took four years from the start of the Great Depression for Washington do-gooders to push the GDP down 29%. It took Anthony Fauci and company the first two quarters of 2020 to drive the U.S. GDP down 37.9%, 8.9% higher that the Great Depression dive.
The last paragraph explains my point in a nutshell, but that explanation makes more sense with full knowledge of the details that I provide above. FDR New Deal details also explain the Cancel Culture prevalent today. We think cancel culture is something new. Not so. Keep the persecution of Donald Trump, his attorneys, and the January 6 protesters in mind as you read the next details.
The following details establish beyond a reasonable doubt that Democrats are Constitutional and Rule-of-Law Heretics that deserve to be drummed out of the U.S. political system.
Enter Robert H. Jackson. Jackson is one of those degenerate characters that appear throughout history, immoral people that are willing to do dirty work for despicable leaders like Roosevelt.
In 1934, FDR appointed Robert Jackson to head the Federal Bureau of Revenue, the forerunner of the IRS, with the stated mission of destroying Andrew Mellon. Mellon proved that low taxes, low government spending, and less regulation will drive an economy to new heights. Mellon's policies were repulsive to Roosevelt; he wanted the opposite; more of the three economy killers and the power that goes with each. FDR repeatedly told the American people that Andrew Mellon and wealthy entrepreneurs like him were responsible for the Great Depression. Roosevelt called Andrew Mellon “the mastermind among the malefactors of great wealth.”
Jackson investigated Mellon for tax fraud. After a lengthy investigation, Jackson concluded that Mellon had not committed any sort of tax fraud; the man was honest. Jackson briefed FDR on the failed investigation.
On February 26, 1936, Roosevelt appointed Jackson Assistant Attorney General in charge of the Tax Division. In his new position, with new authority, FDR's stooge opened a new tax fraud investigation into Mellon. Once again, Jackson failed to find any fraud.
Does Russian Collusion ring a bell?
On January 21, 1937, Roosevelt appointed Jackson Assistant Attorney General in charge of the DOJ Antitrust Division. Roosevelt ordered Jackson to investigate Mellon and his business enterprises for antitrust violations. Jackson investigated Mellow owned companies which included, the Mellon National Bank, a second bank, the Union Trust Company, Alcoa Aluminum, the New York Shipbuilding Corporation, Old Overholt whiskey, Standard Steel Car Company, Westinghouse Electric, Koppers, a global chemical company, the Pittsburgh Coal Company, the Carborundum Company, Union Steel, the McClintic-Marshall Construction Company, Gulf Oil, and other enterprises too numerous to mention. Once again, Jackson failed. Mellon carefully organized his multiple enterprises within the statutory requirements of the antitrust laws. Jackson personally told FDR that no jury would convict Mellon or any of his companies of tax fraud, or antitrust violations. Mellon was an honest man. Jackson proved that beyond a reasonable doubt.
Franklyn Roosevelt was a crook, a very rich crook, or at the very least, the descendant of rich crooks. Warren Delano, FDR's maternal grandfather, the source of over half of FDR's wealth, made his fortune dealing opium on an international scale. Yup, for sure, FDR's grandfather was an international dope dealer.
In Roosevelt's crooked mind, Mellon, and what FDR called the Economic Royalists, were as crooked as he was. His limited mind could not imagine a honest businessman.
In spite of all the investigative losses, Roosevelt continued to demonize Mellon in public. Frankly Delano Roosevelt was the type of evil bastard that would not give up on framing an innocent man.
Mellon died on August 26, 1937 depriving FDR and the New Dealers of their favorite Depression scapegoat.
After Mellon's death, and after years of continuous audits and criminal investigations, the Treasury Department assessed the Mellon corporations a civil penalty of six hundred thousand dollars for what amounted to mistakes made on tax returns.
Only death freed Mellow from Roosevelt's evil attention.
Starting in January of 2020, a new crop of FDR Leftist New Dealers, made up of self-promoting, power hungry government underlings like Anthony Fauci, Deborah Birx, and CDC Director Rochelle Walensky, took a low risk virus, mixed it with a full measure of BS, stirred a massive dose of public fear (We're all going to die), and crash the United States GDP by 37.9%, and did in the first two quarters of 2020.
Deborah Birx, who played the part of a doctor on TV news, retired and shortly thereafter admitted in a recorded public interview that the she and her CDC coconspirators knew that vaccines were not going to protect against COVID. Birx stated that she and her cohorts overplayed the vaccines, that the vaccines were not going to protect against severe COVID and hospitalization. Birx admitted that the real CDC death data showed that 50% of the people who died from the Omicron surge were older, and vaccinated. Comorbidities are important when arriving at a cause of death when people die of COVID. Terminal cancer patients in hospice care were certified as COVID deaths. In June of 2022, Birx admitted that the CDC Pandemic Mafia operated on hope rather than evidence.
The confused, senile Joe Biden, evangelist for vaccination, claimed for months that the jab, and the second jab, and the booster jabs were the silver bullet that would bring COVID down. The evidence proved otherwise; the double vaccinated and boosted Biden came down with COVID. Twice.
Rochelle Walensky, the current CDC Director, admitted in public that the CDC got the COVID response wrong. The CDC got every aspect of COVID wrong. The response was a mind boggling show of incompetence.
But Citizen, don't fret over CDC incompetence. Walensky, who also plays a doctor on TV, is reorganizing the CDC so the incompetents at CDC can act fasted to counter public health threats. Walensky is moving the people that screwed up the entire COVID response around on an organizational chart. Why not fire the power-hungry bastards like Fauci that got everything about COVID wrong? The same bastards tried to discredit and destroy anyone that disagreed with what turned out to be the wrong action based on fake data that Fauci and his COVID Mafia them.
With a bloated 12-billion-dollar budget and more than 11,000 employees, thinning budget fat and firing incompetent staff might actually protect Americans from disease outbreaks and other public health threats. With that many employees, you would think that somebody at CDC would get COVID right. Getting a disease right was never the objective; undermining and persecuting Trump was the objective.