End The Great Depression Essay

What Ended The Great Depression

What had a greater impact on America's climb out of the great depression, World War II, or the New Deal? Starting in 1929 America plummeted into the greatest economic recession in the history of the Western world. This depression lasted up until 1941 a few years after the start of world war II. America’s solution to the Great Depression was known as the New Deal and was established by then-president Franklin D Roosevelt. The New Deal created public works projects and jobs for the unemployed Americans who were struggling financially at the time. However, this depression lasted much longer than was expected and carried into World War II. World War II was a war started by Nazi Germany in 1939 and lasted until 1945.

economic prosperity was more common but as the decade progressed American citizens began spending less. This led to a decline in manufacturing throughout the U.S. due to an abundance in the inventory of many manufactured goods. This caused stocks to fall, over 10 weeks some stocks lost 50 percent of their value (American’s React). After the stock market crashed, America spiraled into a great depression which led to the election of Franklin D Roosevelt in 1932. He became the first person to accept the nomination to the fourth ballot in person and his speech he stated that we needed “ a new deal for the American people ” (1932). That was exactly what he did. When President Franklin D Roosevelt came to power in 1933 the United States was still on a downward spiral. The national unemployment rate had reached 25 percent and the Dow Jones average lost 80 percent more than what was already lost (New

During the war American tax profit more than doubled allowing for government spending to increase (Goodwin). This spending would most likely go on to be used for public improvement or global trade. World War II opened a new world of trade for America and allowed them to create a new market. The expansion of overseas connections allowed America to truly join the rest of the Western world in trade. Through the War, America proved its dominance to the rest of the world at the time. This dominance allowed America to spread its influence. (The Real New Deal) This was not the only thing that the war did to influence American spending; the war caused more than one-third of the global industrial output to be war material to be purchased and sold or used by the government (Goodwin). This also benefited the consumer market allowing for industrial production to increase and consumer goods to be produced at an incredible rate being the only country to see an increase in consumer goods even through rationing. (Goodwin). This up trend in American production not only greatly affected the consumers but also had a huge impact on the workers as well. American employees in the manufacturing industry saw a 50 percent increase in wages before taxes than in 1939 under the new deal (Goodwin). The War brought in an increase in wages and savings for Americans greater than that achieved by the new