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In the 1920's America was the richest and most powerful country in the world and its industry was booming. However in 1929 disaster struck. The Wall Street Crash plunged America into deep depression, and the rest of the world followed suit.

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The USA - The New Deal Ruth Fitzpatrick 11S In the 1920's America was the richest and most powerful country in the world and its industry was booming. However in 1929 disaster struck. The Wall Street Crash plunged America into deep depression, and the rest of the world followed suit. The 1920s were known as the 'boom years' or the 'roaring twenties'. The twenties saw American people, having a great time and enjoying the highest living standards the world had ever known. One factor resulting in the boom was that the USA is a massive country with affluent natural resources. This meant that it did not need to import raw materials and did not need to export all its goods. Other countries were not relied upon, as the home market was rich and growing. In addition, the Americans had provided aid for many European countries during the war. They had also been main suppliers of arms, and munitions. This long lasting one-way trade gave American industry a real boost. In addition to this, while the European powers fought, America took over their trade around the world. American exports to Europe increased dramatically. The making of cars also provided many more jobs directly, for example sales people. It also gave factories more work as many different materials were used during manufacture. In turn this meant roads had to be built. This industry alone was the single biggest employer in the 1920s. The Republican Party ruled during the boom years. From 1920 through to 1932, all the American presidents were Republican and they dominated the Congress. As Republicans the government policy was to interfere as little as possible with the everyday lives of the people. Therefore businessmen were left alone to run their businesses how they wished with out any strict government laws. As more people made money from business; more people bought goods from others. ...read more.


The scheme ended in the early 1940's. By this time 2.5 million young men had served in the CCC. As historians we can compare Roosevelt to the likes of Hitler. Many of their policies were alike, and involved similar principles. Hitler set up the Hitler Youth. This was similar to the CCC in many respects. In Germany between the ages of 18 - 25 young people lived in Labour Camps and worked for a small wage food and shelter. It was part of the Hitler Youth campaign. The men were trained as soldiers and everyone had to support Hitler. Unlike the Hitler Youth in the CCC young people were free to leave when they wanted and it was not compulsory. Following the almost immediate success of the CCC Roosevelt set up many similar schemes to help reduce unemployment. The American people knew these New Deal organisations by their initials, and they were soon commonly known as the 'alphabet agencies'. The Agricultural Adjustment Administration aimed to take a long-term view, on reducing the problems farmers were facing. It set quotas, which reduced farm productions. These meant prices gradually rose. The AAA also encouraged farmers to learn more modern skills that would conserve and help protect their soil. Some of the poorest farmers were also offered support with mortgages. Although the AAA was a great help to farmers, unfortunately with all the modernised techniques, less farm hands were required and many were put out of work. During 1935 Roosevelt set up the Works Progress Administration (WPA). Like the CCC it aimed to reduce unemployment and offered jobs that would be useful to the community. By the year 1937 the WPA had built thousands of schools and public buildings. They also work on building new roads and such like. The WPA even found work for those with talents such as art and the ability to write. The writers would put together guidebooks for nearby towns and cities whilst the artist would paint pictures on the walls of post offices, schools and other similar public buildings. ...read more.


It also saved American Democracy. In my opinion the New Deal was successful. I do think it contained some faults but with the situation Roosevelt had to face being so tough, I think that is inevitable. I personally think he did remarkably well with the situation he was presented with. He reduced unemployment, which had risen dramatically prior to Roosevelt's appointment. Gave people money when it was most needed, and provided ordinary people with rights, such as the minimum wage and being able to join a union. The other argument is whether it was the New Deal that ended the Great Depression or whether it was the war. After all Roosevelt's hard work in attempting to lift America out of depression, things really had improved. Unemployment had decreased dramatically and many of Roosevelt's organisations had proved a success, but many people would argue that although Roosevelt did a lot, it was the Second World War that almost wiped out unemployment and really got the economy back to how it was previously. Although this is a paradox war did create jobs for people making munitions and providing aid for European countries. After America entered the war in 1941 unemployment was almost non-existent. Many Americans went and fought in Europe so there were jobs for them and also jobs where they had previously worked. In conclusion, no one other than Hoover and Roosevelt has ever experienced the situation that they were presented with. As Historians we do not doubt that Roosevelt handled the situation much better than Hoover, but the question is did his New Deal actually succeed. In my opinion the New Deal was a success, but the Second World War really helped it along. I think the New Deal lifted the country when it needed it and in America's case, the war provided many things to help. It was both these things coupled together that finally got America back on its feet and ended the Great Depression. 1 ...read more.

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