– Franklin D. Roosevelt Essay, Research Paper
The New Deal, Franklin D. Roosevelt, AND The Future
When the great depression hit America, the country was left in devastation. Due to the
Hoover Administration’s slow reaction in responding to the depression, many had lost their hope
for the future. Then Franklin Roosevelt came up during 1932 elections. During his campaign,
Roosevelt found his slogan: “The New Deal,” a name that would become a symbol of one of his
greatest achievements.
Many people had asked, what caused the Great Depression? Some blamed on the Great
Crash. Economists say that the Great Crash did damage the economic system in some ways, but
it did not necessarily cause the depression. It was the weak economic structure at the time that
may have triggered the tumbling down of the economy.
Other factors causing the Great Depression includes the over-expansion of businesses
to gain more profit. In fact, as businesses over-extended themselves, produced too much
products, customers could not keep up with the expansion, since their wages did not increase
much. Many desperate customers, wanting to buy “on-time” with their limits income, plunged
into the world of credit. Further, the whole economic system was dictated largely by jumbo
corporations, the government, most of the time, stayed out of the system.
Responding to the Great Depression, President Herbert, during 1931-32 believed that
private charities had run out of all funds. Some went bankrupt shortly afterwards. Also, many
major cities also went bankrupt. And what they are thinking did not work.
Hoover turned to businessmen for answers by promising that they will always maintain
full employment, wages, and prices. He then tried lowering the income taxes. Hoover’s
program to stabilize the agricultural industry, which prompted the sale of farm products
through cooperatives. Despite of these programs, however, the people protested against
Hoover. They argued that Hoover was too slow in response to the problems.
The country was in a total mess when Franklin Roosevelt stepped into office. The
new president took action quickly within the first Hundred Days. He created and have the
Congress passed over 15 major laws. These 15 legislation would later be the “foundation”
of the New Deal programs. The first step was to save the banks. On March 9, President
Roosevelt banks an emergency back legislation to repair the banking system: stable banks
would reopen immediately after the bank holiday with government support. Weak banks
would be closed and put into further investigations.
Roosevelt’s second step was to reduce the unemployment and helping the needy and
poor persons. To help people from having their homes foreclosed, FDR proposed the Home
Owner’s Loan Act, which refinanced their mortgages. Federal Emergency Relief
Administration (FERA) was next, to feed the poor. To employ the unemployed, Civil Works
Administration (CWA) was created, which reduced the number of the unemployed by 4 million
and his other programs like CCC, TVA, etc.
In June 1933, the Public Works Administration (PWA) and the National Recovery
Administration (NRA) came to light. The PWA was created to stimulate industry and create
employment in public works. The NRA worked to establish a closer an clearer relationship
between government and business. At the same time, the NRA controlled productivity and
competition while maintained prices, employment, and wages. For agriculture, the New
Deal created the Agricultural Administration (AAA). Interestingly, the AAA enforced
farmers not to plant crops, Further, farmers who did not farm and followed orders were
paid by the AAA.
Within just one year before the end of President Roosevelt’s first term, many new
programs were still, including the Social Security, Works Progress Administration (WPA),
National Labor Relations Act, and Public Utilities Holding Company Act. By the end of
President’s Roosevelt’s first term, the New Deal program had helped a dynamic range of
people who were struck by the depression and needed help, from the unemployed, elderly,
farmers, even business, just to name a few.
But critics came against the New Deal. First, it came from the Supreme Court then
businesses. They think NRA surpassed the federal powers to control the interstate commerce
and the New Deal sided too closely with workers and farmers. Despite of the problems that the
New Deal left for the future presidents to solve, the New Deal did brought many good things to
the American Society. Although not everybody will experience the American Dream, some did
have the chance after the New Deal era, especially during and after the economic boom of the
World War II. A continuation of the progressive tradition. Although, the New Deal failed to
save America out of the Depression. It sought to “clean up” and tried to improve the country for
that reason it has left a long lasting legacy for the future.
Suggested Readings,
A Narrative History by George B Tindall and David E Shih.
The New Deal and the problem of Monopoly by Ellis W Hawley (1966)
www.academic.marist.edu
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