The First and Second New Deal were compromised of many acts. They all reflected President Roosevelt's 3 R's: relief, referendum, and recovery. The first New Deal was famous for arranging several programs in its first hundred days, and showed the Roosevelt was not shy in experimenting.
The Glass-Steagall Act helped solve the banking problem that the nation faced during the Great Depression. As the economy started failing, many people withdrew their money from the bank and as a result, several banks went bankrupt. This act created the federal deposit insurance corporation which insured that people wouldn't lose their money if a bank folded. People gained confidence and kept their money in the banks.
The National Industrial Act(NIRA) had three major components. It shortened hours for workers and established the minimum wage levels. This counteracted the competition that was hurting the economy by increasing wages, allowing workers greater purchasing power. The final component of the act was that it accepted the worker's right to unionize, which had been traditionally opposed.
The Agricultural Adjustment Act(AAA) dealt with the problem of overproduction. Overproduction after the World War had caused farmer's prices to drop significantly. The act dealt with this problem by paying farmers to not grow crops. While the act did increase prices, it unfortunately had a negative effect. Landowners began to kick off tenant farmers and sharecroppers off their land to reduce the amount of land being cultivated. This greatly hurt the poor farmers.
The Tennessee Valley Authority(TVA) was a major development project in the South. It created jobs by undergoing construction projects like dams to generate electricity, which greatly helped the impoverished South. The TVA helped Roosevelt gain power in Congress because he acquired the support of Progressives and Republicans with this project.
The Civilian Conservation Act(CCC) created jobs for young men ages 18 and 24. The CCC focused on conserving nature, and helped with flood control. road building, and forest projects. In the 1930s, 2.75 million men worked on CCC projects.
The Federal Emergency Relief Act helped distributed money among state governments. It was intended as a temporary relief for people and worked with the PWA and AAA to help the poor.
The First Deal had dealt with the country's major problems. However, there was still a lot of work to be done as 20% of the people were still unemployed. Roosevelt also faced opposition from the Supreme Court which ruled his NIRA and AAA unconstitutional. To deal with the Supreme Court, Roosevelt threatened to add 6 more seats to the court, guaranteeing him the majority vote. As his reelection approached, Roosevelt issued a second New Deal that was more focused on assisting and supporting the working class.
The Works Progress Administration(WPA) was a massive attempt to employ the millions of unemployed. The previous CCC dwarfed in comparison with this administration. Jobs ranged from construction work to work in the fields of art.
The Social Security Act arguable has the largest long-term effect on American society. At its base, the act was designed to help the unemployed, elderly, and disabled. The most important thing that it provided was retirement benefits, which came from taxes on workers, that workers could collect after the age of 65.
Roosevelt's New Deal was very effective. As act after act continued to pass, the American economy slowly recovered during this time period. Roosevelt's willingness to experiment greatly aided him with all his accomplishment. He wasn't scared of utilizing the power of the federal government in economic issues, and in the process, revitalized America.
Source:
"New Deal." History.com. A&E Television Networks, n.d. Web. 10 Dec. 2015.
This was a really well written and informative article. I think breaking up the different acts into paragraphs made the writing easy to follow. I think that the New Deal, however, the reforms did not solely better the economy. They offered temporary relief to Americans, but many Americans were still unemployed and those that were became increasingly anti- Roosevelt. I like that you described Roosevelt's style of leadership as well. Do you think a similar leadership style would be effective to address economic issues today?
ReplyDeleteWay to incorporate all of the associations and the abbreviations that they include. I agree with your idea that the reforms bettered the economy. Well written.
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