1. What did FDR ascertain as the underlying problems facing the American economy and society in 1933? What were the underlying reasons for the Great Depression? The underlying reasons for the Great Depression according to Roosevelt were; banks that were giving out loans that people could not pay back, states that printed too much money resulting in meaningless money, and too much productivity in companies resulting in surpluses no one would pay for. Firstly, banks lost millions of dollars when the stock market crashed resulting in panic among the states. Banks thought the United States had more money than it actually did, estimated about three or four billion dollars out of eleven billion in the world. The people in the United States were
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Firstly, Roosevelt had to regulate banks to make sure there is money for banks to lend to people. Therefore, he shout down banks for several days to calm the panic in America for those who lost their money. Shortly after, the Administration Emergency Banking Act was created 1933 to make the treasury department check banks and reorganized them until they had a federal fund to act as a safety net if they were to be on the brink of closing. Afterwards, the Glass Steagall Act was passed to insure personal savings account up to $5,000 to people, and made sure commercial banks could not touch the money in case they are looking for risky business. Additionally, the Federal Emergency relief Administration gave $500 million to distribute amongst the states to relief bankruptcy efforts. Once banks were back on their feet the people needed help with unemployment. Therefore, several acts were passed starting with the Agricultural Adjustment Act in 1933 which raised the prices of goods while slowing down production, which would stop surpluses from becoming an …show more content…
During this time, 400,000 projects were built, 500,000 miles of roads were constructed, 40,000 schools were built, 3,500 playgrounds were built, and 1,000 airports were built. Then the Civil Conservation Corps was created, which put unmarried men from age eighteen to twenty-five to work planting forest, and cleaning up public areas for a dollar a day which lasted until 1942. Shortly after in 1935 the Works Progress Administration was created and unemployed with 8.5 million jobs for its eight year operation, however was not sufficient enough to relieve a family of poverty as families could not make the $1,200 to support a family at the time. Furthermore, made sure that the elderly and disabled could earn money by creating the Social Security Act. Therefore, the elderly that were at least sixty five could get money if they qualified, and the disabled could get money if they were unable to work, thus providing them with a fair deal. Roosevelt also made the National Labor Relation Act, which allowed workers to form unions and strike for better wages, and working conditions.In the end, the New Deal did not help the poor as much as Roosevelt had envisioned. Although progress was made, it was not enough to bring the United States out of the Great Depression. There was still discrimination issues within the civil acts which favored white males over
Firstly, Roosevelt had to regulate banks to make sure there is money for banks to lend to people. Therefore, he shout down banks for several days to calm the panic in America for those who lost their money. Shortly after, the Administration Emergency Banking Act was created 1933 to make the treasury department check banks and reorganized them until they had a federal fund to act as a safety net if they were to be on the brink of closing. Afterwards, the Glass Steagall Act was passed to insure personal savings account up to $5,000 to people, and made sure commercial banks could not touch the money in case they are looking for risky business. Additionally, the Federal Emergency relief Administration gave $500 million to distribute amongst the states to relief bankruptcy efforts. Once banks were back on their feet the people needed help with unemployment. Therefore, several acts were passed starting with the Agricultural Adjustment Act in 1933 which raised the prices of goods while slowing down production, which would stop surpluses from becoming an …show more content…
During this time, 400,000 projects were built, 500,000 miles of roads were constructed, 40,000 schools were built, 3,500 playgrounds were built, and 1,000 airports were built. Then the Civil Conservation Corps was created, which put unmarried men from age eighteen to twenty-five to work planting forest, and cleaning up public areas for a dollar a day which lasted until 1942. Shortly after in 1935 the Works Progress Administration was created and unemployed with 8.5 million jobs for its eight year operation, however was not sufficient enough to relieve a family of poverty as families could not make the $1,200 to support a family at the time. Furthermore, made sure that the elderly and disabled could earn money by creating the Social Security Act. Therefore, the elderly that were at least sixty five could get money if they qualified, and the disabled could get money if they were unable to work, thus providing them with a fair deal. Roosevelt also made the National Labor Relation Act, which allowed workers to form unions and strike for better wages, and working conditions.In the end, the New Deal did not help the poor as much as Roosevelt had envisioned. Although progress was made, it was not enough to bring the United States out of the Great Depression. There was still discrimination issues within the civil acts which favored white males over