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Explain Why Roosevelt introduced the New Deal?

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Roosevelt and the New Deal GCSE History Coursework Question 2 Explain Why Roosevelt introduced the New Deal? Roosevelt wanted to deal with some of America's social problems. In the 1920's many changes took place. Crime, poverty, religious and racial differences were still a serious problem. Anti immigrant groups were springing up all over the country after World War I the Ku Klux Klan (KKK) became very popular in the 1920s. Founded in 1865 by William Nathan Bedford, The KKK began a campaign of terror against free blacks and their white supporters, and got their way by means of racial violence, terror, murder and lynching. Roosevelt wanted to solve racial differences and bring America together. There was also an ever growing gap between the two classes. There seemed to be a north south divide in America with the majority of the public in the north being wealthy professional workers, but the south being populated by poor agriculturalists that had to work a lot harder for less money. Roosevelt wanted to shrink the gap to once again bring America together. ...read more.


Banks were prepared to lend money to people investing in stocks as the stock market kept going up. Therefore people borrowed more and more money that caused stock prices to skyrocket to unrealistic highs. The rapidly rising share prices just gave people more confidence and persuaded more people to borrow money to invest. This was then followed by company's loss of income because due to the over-production this then led to people being made redundant. This sent the economy into a downwards spiral and by 1928 people 'in the know' sold their shares. October 1929, known as 'Black Tuesday' panic set in, people started to rapidly sell their shares. As 12,894,650 shares were traded in the space of one day, this selling panic was due to people trying desperately to cash in their shares before they became completely worthless. Over the next few days more than 30 million shares were traded and the majority of investors were ruined as share prices collapsed beneath them. As the banks had lent out a lot of money to stock market investors, many went bust. ...read more.


For three months, Roosevelt proposed, and Congress passed, a series of important bills that attempted to deal with the problem of unemployment. These bills helped a number of people get back to work. He also introduced something called the Works Projects Administration (WPA). The purpose of the WPA was to give wages to people currently unemployed. By 1936 over 3.5 million people were employed on various WPA programs. The New Deal arrived at a time when America desperately needed leadership to drag it out of the hole it was in. No other organization of government was able or willing to cope with this responsibility. Franklin Roosevelt promised hope and change, and America believed him. Even though the New Deal was practical and many new ideas were tried out and failed. Its guiding principle throughout was that it was the national government's duty to look after the whole nation. The New Deal was evolutionary, but needed a brilliant man such as Roosevelt to guide and lead the movement in order to achieve the success that it did. Without Roosevelt, a plan similar to the New Deal would have occurred, but may not have ever reached the greatness and success without his genius and charisma. ?? ?? ?? ?? Matt Molyneux ...read more.

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