End This Depression Now Summary

The Answer to the United States’ Toughest Obstacle The Great Depression was a major turning point in United States history. The United States went into a major economic slump in 2008, leaving many people without jobs. Paul Krugman writes about the state of the economy after the depression and how to rebound from it in his book, End This Depression Now! In this book, Krugman talks about the result of the economy following the Great Depression. Krugman provides key suggestions and examples of what can help recover the economy and what will actually hinder the economy more. He mentions how unemployment needs to be addressed in order to recover the economy. He also talks about how cutting debt is necessary, but it should be done when the economy is stable and not struggling at the time. He also mentions that there should be an end to austerity and that the growth of government spending will help the economy recover. Krugman believes the United States should …show more content…
With multiple currencies, he believes they are more able to endure a recession. He writes, “But there are also significant advantages to having your own currency, of which the best understood is the way that devaluation – reducing the value of your currency in terms of other currencies – can sometimes ease the process of adjusting to an economic shock” (Krugman 169). By having multiple currencies, it gives flexibility to the economy. Under one currency, values are set at a higher cost of living. However, under multiple currencies, the rise and fall of wages allows countries to match their income with their goods that are being produced, helping them avoid debt. The idea of having multiple currencies can be a good idea to avoid recessions, but it has its disadvantages. For instance, troubled countries in Europe, like Spain, would have to have to deal with high unemployment until wages of workers fall to match the demand in the