President Franklin D. Roosevelt's New Deal

Westernized modern countries such as the United States have an immense economic market in which it has allowed America to be prosperous and has created opportunities for many people. Millions of people from all over the world migrate to the United States in seek of a better life and opportunity and to live the so called “American Dream.” When President Franklin D. Roosevelt took the presidency in the year 1933, “the country was in its depth of the Great Depression.” (Neal 2010) The Great Depression was a Economic Stock Market crash in which not only did it affect the citizens of the United States but also created havoc worldwide, especially international trade relations. When the Stock Market crashed, people were worried what would happen to the country. People were being laid off, businesses being closed, and unemployment rate was rising day by day, causing even more turmoil throughout the country. Nonetheless, president Roosevelt had something else in mind to reduce the unemployment rate. Roosevelt along with his democratic party created the “New Deal”, in which it created different relief jobs helping reduce unemployment. Although President Franklin D. Roosevelt helped reduce unemployment by the means of programs such as the WPA, and CWA, these methods were not effective because the government spending of these projects created inflation and no tax cuts were being made, making the New Deal a slow process. First of all, when president Franklin D. Roosevelt took office, he had to win the trust of the of the citizens during his campaign, by proposing his ideologies, one of them being his Work Progress Administration, also known as the WPA. According to a scholarly article called, “The Dynamics of Relief Spending and the Private Urban Labor Market During the New Deal” written by three Economic professors and affiliated with the National Bureau of Economics, they emphasize Roosevelt’s beliefs and intentions to restore the country. They write, “In response to the massive unemployment of the 1930’s, Roosevelt’s New Deal in 1933 introduced the first federal relief programs targeted at the poor and unemployed… he anticipated that the work relief jobs would boost consumer spending and thus increase demand for labor, which would then raise private employment and earnings.” (Neumann, Fishback, Kantor) This quote shows that programs such as these relief jobs, would not only be able to get the people back to work, but also get the economy up and running again.