Presents a brief history of recessions and depressions over some centuries. Prosperity without recessions and depression is possible; they are not random natural occurrences but can be prevented. Describes the effects of depressions and how they have contributed to warfare. The method of creation of money creates debt crises, which produce recessions and depressions; this is a worldwide problem. Shows why the Federal government can not maintain a balanced budget due to the present method of money creation. Charts are presented showing the relationship between unemployment, money supply and interest rates. Offers suggestions on how recessions and depressions can be avoided. Offers a method to model the cause of recessions and depressions on a computer using the Excel program.