New Deal Dbq

During the 1920s, America experienced vast improvement economically and socially, however, this great peak of improvement would soon come crashing down with the Great Depression occurring in the 1930s. There were multiple factors which contributed to the Great Depression such as mass production, uneven wealth distribution, the stock market crash, and minimal government participation within in the economical industries. These factors combined composed the most substantial depression America had ever experienced leaving millions of Americans unemployed, hungry, and homeless. However, in 1932 President Franklin Roosevelt was elected into office and proposed the New Deal which was intended to relieve the Great Depression. The New Deal never

The strong increase in production and consumption established countless jobs for Americans and left the unemployment rate low. However, the incoming wealth that industries were receiving was not being distributed evenly among its employees. The wages of the workers who performed manual labor increased minimally, while the employees who held higher positions or “white-collar workers”, their wages increased significantly, which began the imbalance of the economy. This imbalance in the economy played a major role in the decline of consumption in America since “The rich spent lavishly, but they could absorb only a tiny fraction of the nation’s output. Ordinary folk, on whom the system ultimately depended, were unable to take up the slack.”(Roark, Pg.773). The low demand with mass production was one of the ultimate factors that dramatically raised the unemployment rate among Americans. Herbert Hoover, who was elected president in 1928, was a major contributor in the decline of the American economy also. Similar to president Harding’s and Coolidge’s approach, Herbert Hoover’s mindset of economical success in America had been “...individual self-reliance, industrial self-management, and a limited federal government…”(Roark, Pg.772). The industrial self-management state of mind led the Hoover into prohibiting government

In order to attain success in these objectives, many relief programs were established, which also constructed many jobs for Americans in the process. First off, relief programs such as the Federal Emergency Relief Administration were built and gave millions of unemployed workers employment and money to supplement their penniless paychecks. In addition, conservation programs were settled which raised employment while conserving natural resources and civilizing America. Agriculture was improved by cutting down the production of produce which would raise prices, and industrial workers gained employment after corporations agreed to terms that would benefit the welfare of employees and limit competition. Also, the Wagner Act, signed by president Roosevelt, allowed federal support of labor unions to benefit the interests of employees. One of the major changes that came with the New Deal was Social Security, which benefitted retired employees by providing benefits for them based on their contributions in work instead of private pension plans set up by corporations. New Deal