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The Austrian School explanation is that all business cycles are due to government intervention in the economy. In particular, government efforts to manipulate the interest rate causes a boom and bust cycle because people over-invest ("mailnvestment") when interest rates are low and when interest rates are Raised to stave off the inevitable inflation, a bust is caused due to the mismatching of consumer and business goods. There are six depressions in American history that is thought to be the worst since detailed records of economic data started To be kept (around 1867), 1873-79, 1893-97 (actually two contractions separated by an incomplete expansion), 1907-08, 1920-21, 1929-33, and 1937-38...
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