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Did The American People Welcome The "New Deal For The American People" Between 1933 and 1941?

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Introduction

Did The American People Welcome The "New Deal For The American People" Between 1933 and 1941? During and after the First World War, under the New Deal, America benefited from an economic boom which was largely due to a substantial income from the European market. This period saw a great increase in industrial production and improvements in working conditions, as well as electricity being supplied to most of America. The boom however, was short lived and quickly followed by a depression which saw, the Wall Street crash, overproduction, mass unemployment, homelessness and, of course depression. The President at the time was Hoover, a Republican who did very little to help reverse the effects of the depression, believing instead in policies such as rugged individualism, which basically meant that the American people were on their own. In the 1932 Presidential election, a new candidate appeared with plans to turn the economy back around, offering the people a new deal to get the nation back on its feet. The American people responded to this in great numbers, and Roosevelt was successful in 42 of the 48 states, a landslide victory. This shows that a substantial proportion of the American people welcomed the idea of a new deal and whole-heartedly believed that it would be of great benefit to them. ...read more.

Middle

The reason why this Act had so much opposition was because food prices were increasing at a time when millions were living well below the poverty line and farmers could not see how wasting valuable crops would help them. Also small, labour intensive farms certainly did not benefit, especially during the drought of 1933, also known as the dust bowl effect. However, as with all things the most modern, mechanised farms did begin to prosper and display signs of economic turnaround. Unemployment was a very major problem in America during the depression as over 25% of the population was unemployed. First, FDR ploughed $500 million into relief schemes for the homeless and unemployed, and then he created the Civilian Conservation Corps. The "CCC" set up work camps to provide jobs for the young; these jobs were involved in forestry, conservation, National parks etc. The Works Progress Administration (W.P.A.) conducted large public works giving jobs to around 2 million people, as well as constructing roads, dams and schools. All of these schemes were "pump-primers ", meaning that the government pumped money into the economy to encourage it to "start up" again. More people returning to work meant that there would be more money in the economy due to there being more consumers with higher buying power, which would cause a large influx of capital into the economic pump, helping to eliminate the depression. ...read more.

Conclusion

This caused a loss of custom for such private businesses, and so caused their profit levels to fall below the operational level making many local businesses bankrupt. Due to the problems businesses faced because of the TVA, a group of business leaders known as the Liberty League was formed to combat and oppose the New Deal. To fund schemes like the CCC and the TVA, taxes were raised, however not all taxes were raised to the same level. The richer population were forced to pay far higher taxes than the rest of the population in order to obtain the amount of capital required for such economic developments. Understandably they were very annoyed with this, and many threats of opposition and violence towards the New Deal were given, but nothing serious came of it. Whilst many Americans may later have disliked and even acted against the New Deal, it is fair to say that most welcomed the New Deal, at least in the beginning, and a majority appreciated the New Deal for considerably longer, as is evident in the many re-elections of Roosevelt, who won the Presidency more times than any other. Despite some Roosevelt's policies being unpopular, they were all effective in fulfilling their purpose and benefited the majority of the American people, even to this day, as is proven by the continuation of the Tennessee Valley Authority and the fact that there has not been another depression in America since, and America now leads the world in most areas. ...read more.

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