The Main Features of The New Deal

The Main Features of The New Deal

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The Main Features of The New Deal


There were several features of the New Deal, for example new laws and
agencies were created. The Tennessee Valley Authority was set up in
1933 and helped a huge area of America and covered seven states, which
needed to catch up with the rest of the USA. There was extreme poverty
in this area and Roosevelt decided the TVA would help get the area
back on its feet. The TVA erected several dams, which created many
jobs and benefited farmers who used the water to irrigate their farms,
which had turned into dust bowls. The TVA also helped bring
electricity to many peoples’ homes in the area. The TVA helped the
area as it regained the people’s confidence and allowed people to buy
more goods, which helped the area recover from the depression. The
Civilian Conservation Corps (CCC) helped young men and allowed them to
work for 6 months on environmental projects in national parks and gave
them the chance to work for a further 6 months if they could still not
find work. Overall 2.5million people joined the CCC, which
significantly reduced the unemployment levels and helped America
recover. The National Recovery Administration (NRA) improved working
conditions in industry and child labour was outlawed. The NRA also set
out fairer wages and sensible levels of production. Roosevelt set this
up so that all working conditions would be fair. Roosevelt set up the
Public Works Administration, which used government money to build
schools, roads, dams, bridges, and airports. Millions of jobs were
created. Roosevelt set this up to improve the facilities in America
and create more jobs.

The Federal Emergency Relief Administration spent $500 million on soup
kitchens, blankets, employment schemes and nursery schemes. Roosevelt
did this to help the poor people living in America and help them to
get back into work and improve America’s economy. The Agricultural
Adjustment Administration (AAA) was set up and created quotas to
reduce farm production so prices would gradually go up, so more money
would be spent benefiting the farmers and the economy.

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The AAA also
helped farmers to modernise their farms and improve their techniques
on the farm.

The social security act was set up in 1935 and was set up to help the
old, sick, elderly and widows. Roosevelt felt it was not always the
people’s fault that they had become unemployed and wanted to give them
the opportunity to get back to work by giving them a small fee to
survive on. Roosevelt also set up the Wagner Act, which forced all
employers to allow trade unions to operate in their companies and let
them discuss the pay and conditions of the job. Roosevelt also made it
illegal for employers to sack workers for being in a union. Roosevelt
did this to ensure that the workers were getting the right pay and
conditions they deserved because Roosevelt thought that an economy
that had money more evenly spread would be less likely to cause
another depression. Roosevelt set up the Works progress Administration
that aimed to create more jobs for American people. The WPA created
jobs for building projects, office workers as well as unemployed
actors or artists. Roosevelt did this so that the unemployment levels
would go down. Roosevelt set up the Resettlement administration to
help small holders and tenant farmers who were not helped by the AAA,
it proved to be a success after it helped 500,000 families to better
quality housing. In 1938 Roosevelt also introduced the Fair Labour
Standards Act, which cut the maximum hours someone could work to 40
hours a week and raised the minimum wage to 40 cents for those who
worked in inter- state trades. Roosevelt did this so that there would
be more money being exchanged, which meant the chances of another
depression were decreased.


Explain Why President Roosevelt introduced the New Deal
-------------------------------------------------------

Roosevelt introduced the New Deal for several reasons. He had many
aims of what he wanted the New Deal to accomplish. He wanted to get
Americans back to work so that more money would be exchanged; he also
wanted to protect people’s savings and properties. Roosevelt also
offered relief to the old, sick and unemployed to get them through the
depression and back into good times. Roosevelt’s main aims of the New
Deal was to get American industry and agriculture back on their feet.
To do this Roosevelt offered numerous amounts of relief. Many
businesses and banks were closing daily and throughout the late 1920s
and early 1930s things continued to get worse. The farmers were one of
the hardest hit, as many farmers could not afford mortgages, and
things were made worse by over- farming and drought in Southern states
of America. To improve the conditions for the farmers, Roosevelt
decided to set up relief for them in the form of The New Deal. The New
Deal helped the farmers by setting up agencies that benefited the
farmers such as the AAA, which helped modernise farms and improve the
conditions. By giving the farmers relief they were able to recover
from the depression. Many people in the Tennessee region of America
were suffering from the depression, as well as the farms becoming dust
bowls, thousands of homes were without electricity. By setting up the
TVA many jobs were created for building dams and the dams made it
possible to irrigate the “dust bowls”. The TVA also introduced
electricity to the area. The New Deal helped America get back on its
feet; the next stage was recovering from the depression.

Roosevelt didn’t just want Americans to collect aid; he wanted to help
them help themselves. By setting up the social security act in 1935,
many unemployed people were given the chance to look after themselves
and find jobs. As there were more people in work because of
organizations such as the PWA and the CCC there was an increased
amount of production. An increased amount of production requires and
increased amount of buyers, and this was now possible because if there
are more jobs, there was more money being circulated. Living
conditions were also improved because of Roosevelt’s laws and
agencies. For example there were an increased amount of new roads,
schools, airports, bridges and dams. All of these facilities built by
the PWA either made life easier or created more jobs for American
people. It was evident that the laws and agencies were allowing the
USA to recover. The New Deal also helped America recover from the
problems that had already been evident before the boom years. Many
workers were working very long hours and getting poor pay for doing
it, but by introducing the Fair Labour Standards Act employers were
prevented from doing this. Roosevelt also introduced the National
Recovery Administration, which outlawed child labour and improved
working conditions. With the help of all the new organizations,
America was able to recover and get back to living “the American
Dream”. American people also restored their confidence in banks, after
around 15% of people’s savings had been lost, as Roosevelt introduced
the emergency banking act which meant that banks were allowed to be
reopened as soon as examiners found them to be financially secure.
Roosevelt introduced the New Deal to revive the faith in banks,
businesses, the government and most importantly themselves. The New
Deal allowed people to get back into work and reform the economy.
After all the organizations had been set up, bank closures had hit
rock bottom and business failures had also decreased. In fact the New
Deal had not only allowed America to recover, it had allowed America
to reform to create a stronger economy.

“The new Deal was not a complete success”. How far do you agree with
this statement?

I agree with this statement. The New Deal was a huge success but not a
complete success. For example The New Deal was very successful in
getting many Americans back into work. Organizations like the TVA were
set up to create more jobs for the unemployed and improve facilities
in the USA. However many millions remained unemployed aside with the
many organizations Roosevelt set up. The unemployment level remained
disgracefully high for the “land of the free”.

It must be said that The New deal was very successful by the means of
reducing the amount of businesses closing down. This helped the
American economy greatly, as Roosevelt urged people to spend more
money in shops, thus allowing the circle of money to be created again.
However, saying this, Roosevelt gave in to the republicans very
easily. When the republicans told Roosevelt to cut back on the amount
of money going into the New Deal, Roosevelt did just that. As a
consequence businesses began to go bust again and unemployment rates
began to rise again.

Many millions of Americans benefited when Roosevelt introduced the
Wagner act, the new act made it illegal for workers being sacked for
being in a union. Employers were forced to allow trade unions to
operate in their companies and let them negotiate with employers for
better pay and conditions. Many workers benefited greatly from this
new act. The new Deal failed to give relief to different groups of
people. For example, Roosevelt was at first criticised for not helping
the poor, black Americans and many farmers who were still living in
poverty.

However Roosevelt did eventually give relief to the poor, he set up
the Social Security act which gave a small fee to the unemployed, old
and widows.

The New Deal was also criticised for being too complicated and that
there was too many codes and regulations which made it very hard to
manage and therefore not as effective.

Many jobs were created through the organization WPA, the WPA found
work for builders, office workers and even actors. More jobs were
being supplied so more money was going into shops this meant that
everyone benefited.

Roosevelt did have some opposition to the New Deal. Some people did
not like Roosevelt because they said he was acting too much like a
dictator, this is because he made so many changes to the USA and
whether they benefited America or not they were still concerned that
one man had so much power. The TVA also got some criticism; some
people deemed it unfair as it created competition for private
companies. Many Americans who were wealthy disliked the high taxes;
they felt annoyed that their tax should go into the social security
act where people who were “lazy” got money for doing nothing. Possibly
the biggest thing the New deal created was the restoring of faith of
the American people in their government and their country. On the
other hand Roosevelt was insulted for acting like a communist and
anti-business as well as undermining local governments. The New Deal
was also criticised for not solving the underlying economical problems
and confidence remained low. Throughout the 1930’s Americans spent
only 75% of what they had done before 1929. Many Americans felt
embarrassed that its economy had taken longer to recover than most
European countries and the only thing that brought an end to
unemployment was the Second World War.

In conclusion, Roosevelt helped recover the spirit of American people.
The New Deal proved to be an enormous success, but to say The New Deal
was a complete success would be wrong. The New Deal had several faults
and not everyone benefited, for example the rich complained the poor
were getting too much and the poor complained they were not getting
enough. The Republicans criticised the New Deal from the right saying
that the New Deal was doing too much and getting too involved in
people’s lives and should not be supporting trade unions and should
not say that wages needed to be higher. The Republicans thought that
the market should deal with these issues not the government. However
the New Deal was also being criticised from the left with key figures
such as Huey Long saying that there was still many poor people
starving despite the new measures. Huey Long also criticised the New
Deal for being too complicated and not doing enough. It must be said
that the benefits of the new deal hugely outweighs the criticisms of
the New Deal. After all the New Deal did create millions of jobs,
stabilised the banking system, cut business failures, provided
valuable resources to the USA (such as schools, roads and power
stations) and improved the standard of living in deprived areas, which
in turn stimulated the economy into creating many new jobs, meaning
more money was circulating. The New Deal created a better America for
the majority of people living in America, but not everyone.
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