Richard Roosevelt And The Great Depression

1421 Words 6 Pages
No nation could emerge from the Great Depression without profound social, political, and economic changes. Specifically, the United States and Canada were hit particularly hard with severe unemployment and acute economic deflation. While Franklin D. Roosevelt intervened heavily in the United States’ economy, Canadian Prime Minister Richard Bedford Bennett took a more laissez-faire approach; through these solutions, it is evident that in the case of economic depression, economic interventionism in employment, agricultural production, and national banking provide optimal results for recovery.
In order to repair the ravaged American and Canadian workforces, Roosevelt took decisive action towards reconstruction whereas Bennett, out of respect for
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Rather than create policies and administrations that would employ the people, he created “work relief camps”, in which 16- year old young men left their families to reduce economic burden (Great Depression of Canada). The men who volunteered for these camps were referred to as “Royal Twenty Centers” because they were only paid twenty cents per day—about $6 per month—which was a stark contrast to the $30 monthly payment the CCC volunteers received (Unemployment Relief Camps). Workers called these camps "slave camps", as they were forced to wear war surplus clothing, live in tar-paper shacks, and consume army rations. Not only did this fail to stimulate Canadian economy and provide citizens with relief, but also create social discontent among Canadian citizens with …show more content…
The United States fell into a banking crisis, resulting in the EBRA that secured the banking system as well as regaining the people’s trust in the bank. Unlike the US, Canada did not undergo a bank failure, in fact, their bank prior to the Great Depression had very little structure. This lack of structure cause the people to demand a reform in the banking system, which led to the formation of the Bank of Canada. Because Canada did not have a formal bank system, it was unable to collapse, unlike the United States.
Despite the Dust Bowl’s similarly harrowing effects of agricultural productivity in the US and Canada, both countries proposed different solutions to alleviate the impact. Wheat was in high demand, causing production to increase immensely. Subsequently, wheat prices dropped by 75% and income from Canadian agriculture decreased by 28% (Leppard 62). In response to this economic stagnation, the Canadian Wheat Board, CWB, was created to stabilize the wheat market by setting a standard price for wheat, barley, and oats. This allowed the price of crops to increase, which benefitted

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