The new deal and the great society - Essay Example

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The new deal and the great society

On October 29, 1929, the crash of the U,. S. stock market – known as Black Tuesday – set off a world wide spiral in every part of the globe. In 1929-1933, unemployment in the U. S. increased from the original 4 per cent to 25 per cent. Manufacturing output plunged by approximately one third. Prices everywhere fell, making the burden of the repayments of debts much harder. Heavy industry, mining, lumbering, and agriculture were hard hit. The impact was much less severe in white collar and service sectors, but every city and state was hit hard. Upon accepting the democratic nomination for president, Roosevelt promised a new deal for the American people. Roosevelt entered office with no single ideology or plan for dealing with the depression. He was willing to try anything, and , indeed, in the first new deal (1933-34) virtually every organized group ( except socialists and communists) gained much of what they demanded. This first new deal was self-contradictory, pragmatic, and experimental. Relief was the immediate effort to help the one-third of the population hardest hit by the depression. Roosevelt expanded Hoover’s Federal Emergency Relief Administration (FERA) work relief program and added the Civilian Conservation Corps (CCC) Public Works Administration (PWA), and (starting in 1935) the Works Progress Administration (WPA). In 1935 the Social Security and unemployment insurance programs were also added. Separate programs were set up for relief in rural America, such as the Resettlement Administration (RA) and Farm security Administration (FSA). ...Show more

Summary

On October 29, 1929, the crash of the U,. S. stock market – known as Black Tuesday – set off a world wide spiral in every part of the globe. In 1929-1933, unemployment in the U. S. increased from the original 4 per cent to 25 per cent. …
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