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How Successful was the New Deal?

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How Successful was the New Deal? After The Great Depression America elected Roosevelt to be the President hoping he would get them away from the Depression which was effecting nearly everyone at the time. Roosevelt did get them away from the Depression he made the alphabet agencies, these were Relief, Recovery and Reform agencies helping America. During the New Deal unemployment fell from 25% to 14%, Roosevelt gave the average American Hope however not everything was perfect. With the new deal the N.R.A and the A.A.A were deemed unconstitutional by the Supreme Court, little was done to help the Sharecroppers who didn't own they're own lands and the consumer prices didn't rise at the same rate as the earnings. The Alphabet agencies were Roosevelt's agencies that helped get America get back on its feet again. The agencies like the C.W.A and the W.P.A gave jobs to approximately 13 million workers decreasing unemployment and they also repaired airfields, schools, hospitals and roads. The C.C.C gave work to 2.5 million unemployed single men who restored forests, beaches and parks the C.C.C gave the young men training which did help them get jobs later on in life. However everything was not perfect with Roosevelt's Alphabet agencies, the N.R.A was a agency that dealt with the fair work fair wage giving the American workers who were signed up with them a fair competition. In 1935 two brothers broke one of their acts for selling diseased chickens the N.R.A took them to court where they were found guilty, the brothers appealed to the Supreme court where the supreme court declared that it was the business of the New York State and not Washington. After this 16 cases of the alphabet agencies were under trial and then later the New Deal was declared unconstitutional losing the American people money and jobs. The unemployment fell from 25% to 14%; the New Deal had found job for 11% of the population this would mean that there were fewer jobs to find for the 13% still unemployed. ...read more.


He used frequent 'fire side chats', radio broadcasts, informing people of legislation of the New Deal in simple explanations. The people believed they had a president who understood their problems. During this period a number of 'Alphabet Agencies' were set up. These included the Civilian Conservation Corps (CCC), the Civil Works Administration (CWA), Tennessee Valley Authority (TWA) and the Public Works Administration (PWA). These provided work for unemployed young people, helped the environment, stimulated the economy and helped the factories recover. The Agricultural Adjustment Act was a controversial one. It aimed to raise farmers' incomes. But to do this farmers had to reduce their production. These cutbacks helped bring the supply of agricultural products to demand causing prices to rise. Roosevelt's measures allowed standards of living in the USA to improve by 200 percent. In January 1935, Roosevelt introduced the Second New Deal, in his annual message to Congress. Roosevelt still wanted to get as many people to work as he could. The Workers Progress Administration was set up between May 1935 and June 1943 and spent $11 billion on 1.5 million separate projects. The workers built or improved 5,900 schools, 1000 airfields, more than 2500 hospitals, 69000 kilometres of road and almost 13,000 playing fields. There were also schemes to employ actors and artists. The National Labour Relations Act enabled in 1935 (or Wagner Act) protected the right of workers to join unions. The NLR Board was set up to help workers take action against unfair practises. These included unfair sackings. But the business community opposed the Wagner Act - it felt the workers had gained too much power. Roosevelt was concerned about security for the unemployed, elderly and the disabled. He appointed a committee to look at these issues. In the Social Security Act of 1935, the Government introduced pensions for the over 65s, unemployment benefits and aid to the disabled and their dependant children. ...read more.


The New Deal did not help farm labourers, the elderly, black people, black workers of the South and women. Another belief is that Roosevelt interfered too much with business and spent too much money on the unemployed. Others felt he was undemocratic and was trying to be too powerful. Opposition grew. The USA stated there should be a clear separation between the president and legal system. During the Supreme Court problems, Roosevelt witnessed the economy running into trouble again. Industrial production fell and stocks and shares were sold in big numbers. Unemployment figures rose to 5 million within a year. To stimulate the economy, the government spent a lot of money. Roosevelt asked Congress for $3.8 billion to help financial recovery. The New Deal helped restore the USA's economy and the TVA was successful. The New Deal brought relief, employment, and helped the USA believe in the government again. It's proven that American's were better off in 1938 than 1932. The New Deal helped democracy in the USA but the New Deal wasn't that successful. Roosevelt concentrated more on tension in Asia and Europe and the New Deal started to grow to a halt. Only when World War 2 begun did America grow out of the recession. There were still 6 million unemployed. However, as you would expect, the New Deal could only work for a certain time, and by the end of 1940, the New Deal was having very little effect. Some believe the actions of the Government were revolutionary, contrary to US ideas. The idea that the government was responsible for the new economic and social welfare had been accepted, creating a view that it was a turning point in US history. Some people argue the Second World War restored the US economy - and not Roosevelt. The jobs were permanent and the expansion of armed forces meant people could return to work. Another view is the New Deal was relatively successful in creating jobs and it gave a spirit of optimism. It is believed the US went down a 'road of Fascism' Top of Form Bottom of Form ...read more.

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