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The Pros And Cons Of The New Deal

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The New Deal was ground-breaking to begin with as it introduced a new interventionist role for government which was the opposite of Herbert Hoover’s Laissez Faire policies. This included the Glass-Steagall Banking Act of June 1933 which gave deposits of $5000 to banks, which before the New Deal would be totally unheard of as banks were subjected to self-regulation and had to solve their own problems monetarily. This revolutionary and ground-breaking interventionist style of government had never been seen before and was seen by some as unconstitutional as they believed in no government handouts. Furthermore, the SEC, set up in June 1934 regulated all the stocks across the country, a complete turnaround from Herbert Hoover’s policies, adding

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