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Explain why Roosevelt introduced the New Deal in America.

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Introduction

(b) Explain why Roosevelt introduced the New Deal. America was in a severe economic Depression when Franklin D. Roosevelt made his New Deal speech in June 1932. The Wall Street Crash of 1929 made the Depression in America much worse. Roosevelt had to do something to bring confidence back to the country. There was despair all around the country, 23,000 people committed suicide, the largest yearly figure of American history. Employment was a very big problem during the Depression. Over twelve million Americans were unemployed this was a quarter of the countries workforce and the number of people out of work was going up by 12,000 every day. 20,000 companies whose shares were now worthless went out of business, putting even more people out of work. ...read more.

Middle

Because people were out of work the people in the cities could not all the food the farmers produced therefore their incomes dropped. Most farmers however had no choice but to pack their belongings into their trucks and live on the road. They picked up work where they could. Things couldn't get have got any worse for farmers, over farming and drought in the central southern states turned millions of acres into a dust bowl, this badly ruined farmers and drove them off their land. Homelessness was very high during the Depression and something had to be done. Over a million of the unemployed were homeless. Without wages many people could not afford to pay rent or mortgages. 250,000 Americans stopped paying their mortgages in 1932 alone. ...read more.

Conclusion

This sent people panic-stricken and savers demanded their money at once, but the banks too found they didn't have enough ready cash, so they also had to close down. In 1932, 1616 banks had closed down for this reason, and the number of bank failure was increasing every month. Economic and social problems affected the whole country during the Depression as seen from the historical evidence. Prosperity would not return by it self and when the presidential election of 1932 the Americans were looking for hope and they hope to find this in Roosevelt's New Deal. He believed that "the only thing we have to fear is fear itself." This put hope into people's hearts. Roosevelt's over riding aim was to create confidence and help the forgotten man, this is why he introduced the New Deal. Nadia Khalaf History Coursework ...read more.

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