Social and Economic Impact of The New Deal Essay - 966 Words

Social and Economic Impact of The New Deal Prior to the great depression, the U.S. economy alternated between periods of prosperity and sharp economic decline. During the great depression, aggregate demand dropped sharply, causing the price level and real GOP to decline. As aggregate output declined, the unemployment rate jumped, climbing from around 3 percent in 1929 to 25 percent in1933. There were several factors that played a major role in the Great Depression. The main explanation was overproduction of both farm and factory and the unequal distribution of wealth throughout the 1920s. The excessive speculation in the 1920s kept the stock market at a deceitful high, and came crashing down in 1929. Over extended credit at†¦show more content†¦This structured mobility shook the foundations of Americas social and political soul. When Roosevelt came into office with his New Deal Policy, he provided the American people with a new hope for the future and started a new way of life that still has an impact today. The short-range programs of the New Deal aimed at the three Rs#8212;relief, recovery, and reform. Although they were not perfect, they kept many Americans from starving and incentives to go on living. The economic and social foundations of the New Deal Policies was to provide a sound economy for the people by passing legislation to ensure that the individual American and the economy as a whole were safe and sound. The first order was to reopen the banks and restore public confidence by enacting the Glass Steagall-Banking Reform Act, which insured deposit up to $5,000.00. Since then people deposit their money with the assurance that it will be there when they need it. The New Deal provided employment for 3 million young men. Through the Civilian Conservation Act, uniformed young men were recruited to work in various employment such as reforestation, fire fighting, flood control and swamp drainage. These jobs not only helped the people financially, but also gave a sense of accomplishment and prevented them from committing crimes. The WPA also shaped the economy by creating worthwhile jobs forShow MoreRelatedThe Role Of Journalism And Its Impact On Society Essay1428 Words   |  6 Pagespolitical and social happenings, and journalistic outlets are the public’s way of finding all the information on these event. Journalism also provides us with a way of finding out which of these stories are important and deserve our attention, and which stories can be ignored. The important role of journalism can be well observed in the recent coverage of the Trans-Pacific Partnership Agreement (TPPA) in both New Zealand and around the world. This is a groun d breaking economic deal, and holds a greatRead MoreWere Franklin D. 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