• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Explain why Roosevelt introduced the New Deal

Extracts from this document...


Peter Hirsch Explain why Roosevelt introduced the New Deal In America 1929, after an economic boom, Wall Street 'crashed' and America fell into a depression. It was due to over production; placing tariffs on foreign goods etc. At the time, President Hoover did not do much to solve the depression as he was a republican. He believed in 'laissez faire' which means 'let do' literally translated. It basically means that the government doesn't get involved in businesses, thus companies make more profit, meaning businesses and shops can give higher wages and everyone gains from the prosperity. What Hoover did do to help was often too little or too late. In 1929 he had said 'the poor man is vanishing from amongst us', yet by 1932 14 million Americans were unemployed. All of this made many Americans dislike him and many people lost trust in the government and he became known as one of the most hated presidents ever. People started to believe he didn't actually care. At the 1932 elections, Hoover was voted out and Franklin Delano Roosevelt was voted in. Immediately he started addressing the problems of the depression. ...read more.


If they were safe they were reopened with government help, but many banks had to be permanently shut down because they were so badly hit. This Emergency Banking Act did succeed but for many Americans it was too late because they had already lost their savings. Some people had lost all their money and some lost their homes. Also it was an important problem for the New Deal to tackle because without stable banks, the economy would not be able to recover. Another reason the New Deal was introduced was the agricultural crisis. Farmers had been overproducing so prices were low during the 1920's as well. Due to over producing and droughts, in the southern states, millions of acres of farming land became infertile and dusty. This was called a 'dust bowl'. This resulted in many farmers going bankrupt and the total farm income fell to just $5 billion. So many farmers were unable to pay mortgages, and when sheriffs arrived to re-posses their farms they set up protests. They armed them selves with pitch forks etc. but many were still forced to leave and had to live in trucks on roads. ...read more.


But the HOLC was too late for some who had already lost their homes. The Wall Street Crash had made the American economy collapse, the banks were bankrupt, there were thousands of homeless and unemployed and Roosevelt had the job of getting it back on its feet. This situation was the key reason Roosevelt introduced the New Deal. He set up the 'Alphabet Agencies' (e.g. AAA, CCC, HOLC...) each one was trying to solve one of the problems of the depression, e.g. the civilian conservation corps (CCC) was set up to provide jobs for unemployed young men on environmental projects. Another reason for the introduction of the New Deal was because president Hoover's ideas of 'Laissez faire' did not work, as unemployment carried on escalating. He soon lost all of the public's trust, and a president with no public trust is almost no use at all. Franklin Delano Roosevelt introduced the New Deal when he became president in 1932 at the time of the great depression, to get America's economy back to normal. He had to sort out the unemployment problem and help millions of Americans get jobs, restore banks, and also the public's faith in the banks, and stop America over-producing. Also he had to restore public confidence in the government because of the damage president Hoover had done, and regain the confidence that Hoover had lost. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE USA 1919-1941 section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE USA 1919-1941 essays

  1. Explain why Roosevelt introduced the New Deal

    They built thousands of roads, bridges, schools, post offices to help people and families get out of poverty by providing jobs so that they could earn a living. Roosevelt needed to restore trust and confidence in the American people and in order to achieve this he had to give American people back their jobs.

  2. I think Franklin Delano Roosevelt's 'New Deal' was responsible for this. The New Deal ...

    Further more Roosevelt raised morale and inspired hope which gave American people the courage to face the depression and then meet the challenge of the Second World War. Most importantly he saved the democracy in America. On the other had we could say that life got worse due to FDR.

  1. To what extent did the New Deal alleviate the United States' economic crisis?

    ensured cheap power for the people who wanted it. Unlike employment, what remains of the T.V.A. cannot be taken away from the American people as its mark in society is permanent. The New Deal never really improved the issue of unemployment.

  2. Explain Why Roosevelt introduced the New Deal?

    The Wall Street crash caused over 20,000 companies and businesses to go bankrupt, with over 1600 banks having to be closed down due to bankruptcy. 23,000 people committed suicide in a year, this was no coincidence, it was because they didn't think anything could be worse than living in these conditions with no money.

  1. Essay Explain why Roosevelt introduced the New Deal

    1920 rising optimism 1929 What went wrong in the period 1929 - 1930? During the period 1929 - 1930 people were getting rich quick but they haven't seen the deeper side of the US. The percentage of people that was rich was only a mere 5% and a huge 78%

  2. Use Source A and your knowledge of the period to explain why people supported ...

    "This is more than a political campaign." He also demonstrates the determination he has against the ineffective policies of the Republicans. "I am waging war against Destruction, Delay, Deceit and Despair." ~ Source B on the other hand is written in 1945 in the same year Roosevelt died.

  1. Explain why Roosevelt introduced the new deal

    A year on, another 1500 went bankrupt. This was one of the worst failures in American history and making things worse, by 1931 escalating problems in European banks had unfortunate knock on effects to America.

  2. Explain why Roosevelt introduced the New Deal

    Therefore as there was no buying shops went bust, and as shops went bust factories had no reason to employ people who were making products that were not being sold. Unemployment became a major issue and by 1932 this was clearly visible.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work