New Deal Dbq

The 1920s was a glorious time for Americans and the economy, but that all changed when the Great Depression hit, and the people of the United States were met with a life of unemployment and sadness. The 1920s was a great time for the economy, and there was an increase in buying as well as an increase in the stock market. The stock market was getting stronger, and people were starting to buy shares of companies and businesses. During all of this, the president at the time was Calvin Coolidge, and he had a laissez faire attitude towards business. This means he believed that the government should not interfere and set regulations on business. Even though things seemed great, things were about to get so much worse than anyone could ever imagine.

Overproduction, loans and credit, and the stock market crashing all led up to the Great Depression. There were many programs and solutions created to get the United States out of the Great Depression, and some of those solutions are still around to this day.
The Great Depression was caused by many things, and they all led up to the worst economic disaster in United States history. After World War One, the United States turned back into a consumer economy, and instead of making war goods, consumer products were being produced. Installment plans were introduced to the economy, and it let people buy on credit. This means you could buy something from a store, and pay for it at a later time. With the introduction of credit, people started paying with credit and taking out massive loans that they could not pay back. Banks and stores were not bringing in any money because nobody was paying back their loans or credit. Along with this problem, overproduction started becoming an issue in the United States. Since people were buying so much on credit, factories started to create more and more products until people could not afford to buy any more. Since no money was being put into the system by the people purchasing these products, factories were getting no money for the products they were producing. Factories started closing, and unemployment started to rise. The stock market crashing was the final straw in the causes of the Great Depression. On October 29, 1929, the stock market completely crumbled, and people went broke in 1 day. 4 billion dollars were lost in 1 day, and people tried to sell their stocks, but nobody wanted to buy them. Banks also tried to ask for people to pay back their loans and credit, but at the time the people of the United States had absolutely no money to pay them back with. The stock market crashing, overproduction, and people taking out loans and credit that they couldn't pay back all led to the Great Depression because the United States people caused the supply to rise way higher than the demand on products. It is important to state that during all of this, the government did not interfere at all because they had a laissez faire attitude towards the economy and business. The Great Depression left many people wondering how this economic disaster would be solved.
A new president was about to be ushered in, and people believed he could save the United States from economic bankruptcy.

Franklin Roosevelt, and New York Senator, promised relief from the depression, and promised that he could help Americans recover from the depression. He won the 1932 election over Herbert Hoover. Roosevelt wanted to focus on relief, recovery, and reform of the Great Depression. He believed it was the government's job to step in and help Americans recover from the depression. So, he created many solutions and programs to attempt to help the United States get out of the Great Depression. For banks, the first thing he did was create the “bank holiday.” This closed all national banks for 4 days, and during those 4 days, Roosevelt created the Emergency Banking Relief Act to put government regulations on all banks. After 4 days, all the banks reopened. Roosevelt also created the Federal Deposit Insurance Corporation to provide insurance to bank depositors. Roosevelt also focused on business and workers in his programs. He created programs like the Social Security Act, National Recovery Act, National Industry Recovery Act, National Labor Relations Board, Agricultural Adjustment Act, and the Tennessee Valley Authority to provide help and support for workers and businesses. Some of these acts regulated business, provided support for workers by guarenting money if they are hurt on the job, and set prices on products sold by businesses. The final group that Roosevelt helped were the unemployed. Programs like the Civilian Conservation Corps, Public Works Administration, Works Progress Administration, Civil Works Administration, and the National Youth Administration were some of the programs Roosevelt created to help the unemployed and youth. These acts created jobs, created agencies to help people get jobs, and created volunteer work that people could do for money. All of these programs for banks, businesses and workers, and the unemployed worked very

well, and made the government a lot more responsible for the economy and the American people. The solutions for the Great Depression had many lasting effects that are still around today.
Some of the programs created during the Great Depression are still around to this day. The final thing that got us out of the Great Depression was World War 2. World War 2 put the United States back into a wartime economy, and the depression was finally over for the people of the 1930s. However, the Great Depression almost happened again in 2008. On September 29, 2008, the United States stock market dropped to a dangerously low level, and the United States was almost put into another Great Depression. The programs created by Roosevelt helped monitor the situation, and raise the stock market to a safe level. Because of the programs created by Roosevelt, the government has a bigger role in the economy than it did during the 1930s. The United States government has a constant watch over the stock market to be sure it does not drop too low. The government also makes sure people pay back their credit and loans, and does a good job regulating the flow of money through the economy. The government also has a bigger role in workers rights because of Roosevelt's programs. Acts like the National Labor Relations Board, National Recovery Admission, and National Industry Recovery Act create a safe working environment for workers by making sure businesses do not too competitive, productive, or unproductive. Although it is not the act’s purpose, these acts create a safe working environment for workers by guaranteeing fair work and business within the factory. The Social Security Act also made sure workers who were hurt on the job were guaranteed some form of payment so they did not go unpaid. Some of Roosevelt's Programs also still affect agriculture too. The Tennessee Valley Authority is still around, and controls hydropower in the United States. Although the Agricultural Adjustment Act is not around anymore because it was deemed unconstitutional in 1937, acts like it are around that regulate the trade and pricing of crops and food. All the programs created during the Great Depression changed United States history, because they guaranteed that the government had a much bigger role in the economy and business. The Great Depression was a horrible time for Americans, and people were relieved when it was all over.
The Great Depression was caused by overproduction of products, people not paying back their credit or loans, and the stock market crashing. Programs were created as solutions to help the United States get back onto its feet to fight the depression, and some of the programs created back then are still around to this day. During the late 1920s overproduction, unpaid loans and credit, and the stock market crashing all led to the end of an amazing period of the economy. With people unemployed, businesses shutting down, and the suicide rate increasing, newly elected president Franklin Roosevelt created many programs through his presidential service that helped banks, businesses and workers, and the unemployed. These programs along with other solutions helped the United States recover from the depression. Some of the solutions created by Roosevelt are still around and affecting us today, making the government responsible for a lot more things behind the scenes in the United States. If Roosevelt never created any of these programs or solutions, the Great Depression could have been a whole lot longer and worse than it already was.