The Great Crash of 1929 vs. The Panic of 2008
 

FWIW,
A somehwat accurate comparison of then now and things to come

http://www.economicpopulist.org/?q=c...-vs-panic-2008

Two problems, it isn't 1929 and the world economy isn't the same.

history is the best reflection of the future.

I think many financial historians would agree that the fundamentals generally will hold true.

That being said, there's no precident for what's going on today. It's more complicated, deeper and broader than anything ever experienced. That's why everyone is so freaked out. They don't know if the ship will right itsself or the planks are going to start peeling away.

One big difference could be the personal savings issue. It's like a bilge pump. Just like with business, when people aren't stretched with credit they have a better ability to manage their cashflow to deal with adversity.

-spence

And the personal savings rate in the US is like 0% already?

And banks are already lowering personal lines of credit.

http://redtape.msnbc.com/2008/10/how-credit-card.html

-spence

The one thing that appears to be a positive is that central banks worldwide appear to be loosening available funds not tightening.
It is an extremely complex situation as you say.
I believe that we will have to see our government become more directly involved 'stock injection', commercial paper backer with ultimately more power at the table of large commerce. Some would call it Socialist, Federalist, whatever you call it it has to happen