1931 and all that

(Click to enlarge.) As Stephanie Flanders points out, so far output is tracking fairly closely the fall in the great depression in the UK. That's the bad news. The good news perhaps is that the depression between 1929 and 1934 actually wasn't that bad in the UK. Output only fell by 4.6% in the worst year (compare that with 10% in the US). The graphic shows that the Thatcher period (1979-83) was quite similar to the Great Depression period.