As we have written, the current recession is indeed difficult. It hurts all of us!
However, it's not anywhere close to what we lived through in 1982-83.
Before you fall for the "Obama-nonsense" that this is the worst recession since The Great Depression, The Civil War or the arrival of the Mayflower, please consider a few details:
"The economy entered 1982 in a severe recession and labor market conditions deteriorated throughout the year.
The unemployment rate, already high by historical standards at the onset of the recession in mid-1981, reached 10.8 percent at the end of 1982, higher than at any time in post-World War II history.
The current recession followed on the heels of the brief 1980 recession, from which several key goods industries had experienced only limited recovery.
Housing, automobiles, and steel, plus many of the industries that supply these basic industries, were in a prolonged downturn spanning 3 years or more, and bore the brunt of the 1981-82 job cutbacks.
Unemployment rose throughout 1982 and, by September, the overall rate had reached double digits for the first time since 1941.
A total of 12 million persons were jobless by year end—an increase of 4.2 million persons since the pre-recession low of July 1981.
Unemployment rates for every major worker group reached postwar highs, with men age 20 and over particularly hard hit."
I was working and living in Mexico in 1982.
Mexico was severely impacted by the US recession, too. There were serious devaluations and the "expropriation" of the private banks.
Most of Latin American was hurt too.
P.S. This is a song about the world economy released by Paul McCartney in 1982. We call it a "pre-euro" tune. Nevertheless, it reflects just how difficult things were back then:
