Fireside Deal Dbq

The collapse of economic stability in the US was caused by World War 1 and the flawed decisions of President Herbert Hoover. These components and others prompted and worsened the Great Depression. The Great Depression was a dark time of history (globally) a time of poverty, homelessness, mass unemployment, and deflation. During this time, President Hoover did virtually nothing to aid the people and let people suffer as he believed that the economy would fix itself. In this dark time, Franklin D. Roosevelt came into the presidency in 1933 and began trying to re-stabilize and stimulate the economy. FDR made a series of programs and decisions that achieved relief for the needy, Recovery of the economy, and reformation of finance. Although the

Roosevelt's first plan of action for the new deal was to provide relief to those living in poverty (the vast majority of the population at the time). To spread the message, FDR held 27 “Fireside Chats” from 1933-1944 establishing a plan for the future of America and the economy (Source 1). FDR's first major initiative was to establish the Federal Emergency Administration Act (FERA), FERA distributed over $3.1 billion dollars, and over 20 million jobs were created (Source 3). FDR also created government programs (such as the AAA, CCC, CWA, and PWA) that both regulated the US and provided jobs for those in need. He also passed The National Industrial Recovery Act that gave states money to create more jobs and formed the National Recovery Administration to regulate and establish fair practice codes for industries. The New Deal also reopened banks, provided financial security through insured bank accounts, and began to repair the economy through the creation of the SEC which regulates the stock market. Through these programs, standards, regulations, and acts the people saw improvements in their lives and public morale and confidence skyrocketed (Source

FDR’s first incentive was to make “The Emergency Banking Act which authorized the Federal Reserve Board to issue new banknotes and allow the reopening of banks that had adequate assets, and arranged for the reorganization of those that did not” (Source 2). The New Deal helped reopen banks and provided loans to banks that needed help, and closed banks that were too unstable to open (Source 4). Along with this, he made the Glass-Steagall Act that insured bank accounts through the FDIC’s (Federal Deposit Insurance Corporation) main purpose is to insure deposits, examine and supervise financial institutions for safety, soundness, and consumer protection, make large and complex financial institutions resolvable (Source 5). This gave citizens better security within banks and boosted the economy through the reinstatement and improvement of