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If we had not reversed economic policy in the early 1980s, how long would the 1970s problems have continued?

Consider before you answer "well Volcker put the brakes on the money supply and that stabilized prices" - if the government's obstacles to natural economic growth had no been reduced, would Volcker's eliminating the government's artificial stimulus not have caused a much deeper recession? Politically could the Fed's interest rate policy have been maintained? Relative to the global demand for dollars, Volcker's policies were very restrictive - could the economy have rebounded as early as the second half of '83 if the private sector were not allowed to reinvest more of its earnings? http://www.donaldsensing.com/2003/09/economic-iconoclasm.html http://www.nytimes.com/specials/downsize/21cox.html http://www.bls.gov/opub/mlr/1988/05/art1full.pdf http://www.frbsf.org/econrsrch/wklyltr/el97-07.html#winners http://www.dallasfed.org/fed/annual/1999p/ar95.html http://money.cnn.com/2005/05/25/pf/record_millionaires/index.htm?cnn=yes http://money.cnn.com/2005/09/28/news/economy/millionaire_survey/index.htm?cnn=yes http://money.cnn.com/2006/03/28/news/economy/millionaires/?cnn=yes http://www.nytimes.com/2004/11/27/opinion/27brooks.html?ex=1259298000&en=3a3e75cbd69858d4&ei=5090&partner=rssuserland Grumpy stop lying.

Public Comments

1. Simple answer. No, the economy could not have recovered as quickly. Now wait for TravoltaStink's ignorant diatribe defending his view that MORE regulation and HIGHER taxes leads to economic prosperity....?!?! http://answers.yahoo.com/question/index;_ylt=Anfz6gQhieYpJ0gS73I2bmXsy6IX;_ylv=3?qid=20071009072612AA1Qe4G&show=7#profile-info-IrNum6BMaa I don't know why these people are so quick to demonize Supply-Side economics, even though every president since Reagan has more or less followed suit, much to the benefit of our economy. Edit: Scourge.. it is also hard to argue with the fact that Clinton CUT capital gains taxes, and pushed NAFTA through a Democratic Congress. Also, compare the levels of marginal income tax rates to the pre-Reagan era.....Looks like we have another fiscal Conservative.
2. Well, you can't argue with the prosperity of the 1990's, which came after Clinton raised taxes (reducing the deficit, lowering interest rates, and freeing a lot of money to finance expansion).
3. Nice fairy tale. Unemployment hit double digits for the only time since recording it. " trickle down only helped the corporations and the rich got richer. The tax cuts meant nothing to most of working America. So, come again? Are you implying that the market got better so the stock holders made more money?