> "Fiscal policy, then, seems to have been an unsuccessful recovery device in the 'thirties--not because it did not work, but because it was not tried."
>
> -- E. Cary Brown
>
> The quote comes from an AER article cited by Eric Rauchway in his fine little book _The Great Depression & The New Deal_. Roosevelt ran in 1932 against federal deficits. The New Deal was pre-Keynesian. The decline in deficit spending in 1937 was a feature, not a bug.
>
> Shane
==============
"I am also convinced that the soundest monetary policy can be rendered void by a fiscal policy which leads by excessive expenditure to the printing press" [James Warburg]
http://fraser.stlouisfed.org/docs/meltzer/fisdis34.pdf
Fisher's reply follows; the context is Benjamin Strong's policy responses to the crash