Welcome to 1932
People always underestimate how bad things can get. So advised a guy who made millions as a short seller in the 1980s. His insight certainly is borne out in the continuing market selloff -- and one reason is the incentive for political actions that actually make things worse.
Raymond Moley, a New Dealer who ended up dissenting from the Roosevelt administration, voiced a well-founded fear that FDR and his brain trust were more interested in exploiting the crisis to expand their political majorities and centralize power than in getting the economy growing again.