How Did The New Deal Affect The Economy

Great Essays
On October 29, 1929, the stock market crashed, as did the United States economy. It triggered one of the most severe economic depressions in American history, called the Great Depression. During this period, America faced major economic, social, and political changes, one being the change in office. In 1933, Franklin D. Roosevelt was elected President of the United States of America and one of the first things he did during his presidency installed the New Deal. The New Deal was a collection of programs and policies set up to bring the US out of its economic slump and provide relief for the people. However, it failed in doing so. The New Deal benefited few during the Great Depression and was not the driving force behind overcoming it. From the East Coast to the West Coast, the economy performed poorly, women were unable to benefit from most programs, as were many minorities groups such as African Americans (New Deal, 2009).
With the crash of the stock market, the United States economy was left in ruins and the people were scrambling to hold on to whatever possessions they could. Companies, banks, and other businesses went either bankrupt or lost a substantial amount of money, forcing mass firings to happen. The people were left unemployed with little money left due to banks closing and overwhelmed with debt. People starved, lost their homes, many became homeless, and others traveled far to find employment. Right before the market crash, otherwise known as Black Tuesday, the
…show more content…
For instance, the Secretary of Labor, Francis Perkins, became the first female member of the Cabinet. Women during this time were also able to sit in seats of power in many New Deal organizations. The point of taking these measures was to ensure that women would get the same work opportunities as men (Leuchtenburg, n.d.). Ultimately, though, these measures failed in

Related Documents

  • Great Essays

    In 1932, the newly elected president Roosevelt pledges a “New Deal” to America and in 1933 it takes affect. Programs under the New Deal included modified interest rates, farm subsidies and short-term job programs. In 1936, many people were ragged, hungry, and broke. The Great depression finally ended in the year 1940. The 1940’s saw the rise of consumerism which started to redefine the American dream.…

    • 1353 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    The Great Depression was a dreary time in American History and took a toll on much of the nation in a negative way. Black Thursday was the beginning of the depression, and it was on this day that “investors were made nervous by the rising interest rates, and suddenly sold their shares. This jolted investor confidence, and caused…

    • 1060 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    The Great Depression The Great Depression of the 1930’s plunged the American people into an economic crisis unlike any endured in the country before or since. This time period of limited economic growth was caused by a few main factors. Because these certain factors happened, american life was vastly changed until the recovery in the late 1930’s. Though economists are not completely sure why the Great Depression happened, a few key factors do stand out as specifically influencing the economy 's great downturn.…

    • 786 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    New Deal Dbq Analysis

    • 1239 Words
    • 5 Pages

    During the late 1920s to the late 1930s, the United States was impacted by the Great Depression, in which the US economy reduced the amount of job opportunities and increased the amount of poverty in the nation. The Great Depression was an economic depression that affected the US economy severely during the 1930s. The Stock Market Crash of 1929, Overproduction in farms and factories, Conflicts with the international economy and the Inequality of income in the US were all key parts that caused the Great Depression. The Depression took place at the end of Herbert Hoover’s presidency and carried into Franklin D. Roosevelt’s presidency. FDR stepped into office with several problems that affected everyone in the nation.…

    • 1239 Words
    • 5 Pages
    Superior Essays
  • Improved Essays

    The era of the roaring 1920s could not stay spontaneous forever as the economy of the United States collapsed in 1929, sending the nation into the Great Depression. The Great Depression left millions of Americans unemployed, homeless or living in poverty, unable to support their families, and the permanent feeling of hopelessness. The 31st President of the United States, President Herbert Hoover failed to help the United States out of the Great Depression. However, his successor, Franklin D. Roosevelt, was determined to end the Great Depression with his policies called the New Deal. Franklin D. Roosevelt’s administration was effective with relief and recovery, ineffective regarding the power of the federal government, and was able to change…

    • 1111 Words
    • 5 Pages
    Improved Essays
  • Superior Essays

    New Deal Women

    • 1264 Words
    • 6 Pages

    A part of its stated, “One of the most notable changes during the New Deal was the naming of several women to important government positions.” (The Americans page 710) The New deal created a big significance for women playing governmental roles. It was the first time that women were given the chance to prove that they could also rule the government and not only men. The woman who became the first cabinet member was Frances Perkins and she even played a major role in creating the Social Security system and supervised labor legislation.…

    • 1264 Words
    • 6 Pages
    Superior Essays
  • Improved Essays

    Franklin D. Roosevelt introduced the New Deal in response to the beginning of the Great Depression, the Great Depression started on October 29, 1929. The Stock Market crashed and millions of Americans lost their jobs and had to live on the streets desperately searching for jobs with little hope of being accepted into a new job. Nearly 15 million Americans were unemployed and almost half of the country’s banks have failed. Franklin D. Roosevelt helped ease the matter of the Great Depression in the 1930’s by his administration passing legislation that aimed to stabilize industrial and agricultural production. It helped create jobs and stimulate recovery of the nation so the people would not have to live in poverty.…

    • 1142 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    The New Deal Dbq Essay

    • 1647 Words
    • 7 Pages

    The world has known many great leaders, however, in my opinion President Franklin Roosevelt has made the biggest impact on our economy and government in this century. Roosevelt began a new era in American history by ending the Great Depression and helping the Second World War come to an end. Without Roosevelt who knows where this country could have gone? In 1929, the U.S. suffered from a stock market crash. This crash set off a train reaction that plunged the U.S. into what is known as the Great Depression.…

    • 1647 Words
    • 7 Pages
    Improved Essays
  • Superior Essays

    The New Deal Dbq

    • 1073 Words
    • 5 Pages

    In the early days of 1933 the U.S. needed urgent relief and recovery from the economic collapse which caused the Great Depression. 1929-1939 were some of the bleakest years in the country 's history, at least one-quarter of the population was unemployed and almost every family was in bad shape. President Franklin Roosevelt took office in 1933 and he swiftly brought in new rules, regulations, and ideas to begin improving the economy and the American people’s way of life. Over the next couple years the government implemented an array of experimental projects and programs, collectively known as The New Deal. The main goal of these projects was to restore peace and prosperity with the economy, and to lift some of the suffering off the American…

    • 1073 Words
    • 5 Pages
    Superior Essays
  • Improved Essays

    DBQ: The New Deal

    • 694 Words
    • 3 Pages

    The Great Depression left America’s workforce in a hole and made the unemployment and poverty rates shoot through the roof. Someone needed to give America their jobs back and Franklin D. Roosevelt had the perfect plan. The New Deal it was called gave the Americans the work and income them and this economy so desperately needed. Although the New Deal was a worry to some because it was thought that the president would have too much control, it was necessary though because the jobs put the economy back into a good holding point, as well as it built landmarks, bridges, parks and more that still play a large role in everyday society today.…

    • 694 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    The Gilded Age

    • 1166 Words
    • 5 Pages

    America has always had a flexible identity created by our many freedoms and technological advancements, leading to both economic and social changes. The roaring twenties formed a very broad yet bold name for America through the racial mix, social tension, cultural modernism and the amount of conflict that went down. A more modern era came about, which made people self-assured and wealthy, but when cultural advancement was brought into the picture, it caused ruthless reactions. The Identity of the United States in 1920 was tense and harsh, yet progressive and ambitious, as a result of our many freedoms. The term “The Gilded Age” was used by Mark Twain to synthesize the political corruption and greed that was in the air after the civil…

    • 1166 Words
    • 5 Pages
    Improved Essays
  • Superior Essays

    New Deal Dbq

    • 908 Words
    • 4 Pages

    The great depression started with the stock market crash of 1929 and the country just kept sinking lower, never finding the end. That is until a new president was elected, Franklin D. Roosevelt, a man with a plan called The New Deal. The Stock Market crash of 1929 tanked the U.S. economy, but The New Deal saved it with construction projects, labor relations, social security, global trade, and government departments. All construction…

    • 908 Words
    • 4 Pages
    Superior Essays
  • Improved Essays

    Franklin D Roosevelt Dbq

    • 635 Words
    • 3 Pages

    Franklin D. Roosevelt is considered one of America’s greatest presidents along with George Washington and Abraham Lincoln. He was America’s president from 1932-1945 where he died in office and is the only president to have had more than 2 terms as president. He was known for his recovery of America’s economy during the Great Depression by giving jobs and reducing government spending and aiding America through World War 2 with strategic plans. In 1932, the American population was not happy with President Hoover’s effect on the economy, so they chose Democrat Franklin D. Roosevelt as their new president.…

    • 635 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    There were homeless people all over America that only hoped Franklin D. Roosevelt's new plan would change the way they had lived for years. The start of the Great Depression was marked in 1929 when the stock market crashed during the presidency of Herbert Hoover. Throughout these four years the people of America lived in poverty due to Hoover's belief that if someone had a problem then they should be capable of solving it themselves. The country wanted a president that would lead them through their difficult times and that's what they got when they elected president Franklin D. Roosevelt who created the New Deal. Out of all the programs and agencies created for the New Deal the ones that provided immediate relief and supported Government interference were the ones that helped America recover from the harsh times.…

    • 583 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    New Deal Dbq

    • 1023 Words
    • 5 Pages

    The election of FDR in 1932 cast a new light on the problems facing countless Americans at the time. Three years of economic strife had taken their toll on the American people. The new president pledged to make changes to help America, and one of these changes was the New Deal. The program was created in the hopes that it would give the American people hope in a time of despair. It implemented programs like Social Security, health care reform, the NIRA and the FDIC.…

    • 1023 Words
    • 5 Pages
    Improved Essays