3A The New Deal and the Economy Flashcards
How was the national total of personal income different between 1929 and 1939?
1929: $86 billion
1939: $73 billion
How was the Average wages different between 1929 and 1939?
1929 $25.03 a week
1939 $23.86 a week
What key change to a law was made in 1939 that helped to change the economy around?
In 1939 a key amendment was made to a law: The Neutrality Acts of 1935. This meant that belligerents*** could buy munitions from the USA.
Within a year there were orders for 10,800 aircraft
***belligerents: Countries at war
How did unemployment change?
1929: 1932 1933: 1936: 1937: 1938: 1939: 1940: 1944:
1929: unemployment was 3.14% of workforce
1932 national wage bill only 40% of 1929 figure
1933: unemployment rose to 24.75% (around 18 million)
1936: Unemployment rate around 17%
1937: During the second New Deal, around 14.3%
1938: Spending cuts led to Roosevelt Recession, around 19%
1939: End of the New Deal and start of war time economy, 17.2%
1940: War time economy, 14.6%
1944: Unemployment at 1.2%
What was unemployment like in 1929?
unemployment was 3.14% of workforce
What was unemployment like in 1932?
national wage bill only 40% of 1929 figure
What was unemployment like in 1933?
unemployment rose to 24.75% (around 18 million)
What was unemployment like in 1936?
Unemployment rate around 17%
What was unemployment like in 1937?
During the second New Deal, around 14.3%
What was unemployment like in 1938?
Spending cuts led to Roosevelt Recession, around 19%
What was unemployment like in 1940?
War time economy, 14.6%
What was unemployment like in 1944?
Unemployment at 1.2%
What was unemployment like in 1939?
End of the New Deal and start of war time economy, 17.2%
What was the federal government doing for the first time?
For the first time ever the federal government was actively engaged at bringing help and assistance to the unemployed through directly funded work programmes via alphabet agencies such as the PWA and WPA. These works programmes were created in order to provide work in the hope that these alphabet agencies would ‘kickstart’ the economy.
How did the new deal fail to support unemployment?
What did it do instead?
It would seem that the New Deal was a failure in regard to offering the unemployed long-term employment that was not based on agencies.
BUT it must be acknowledged that the New Deal did prevent the total economic collapse of America and lay the economic foundations that supported the rapid economic growth in the Second World War which was more sustained.
What was the impact of the WPA?
1935 - 1943 workers built 2,500 hospitals, 5,900 schools, 350 airports, 570,000 mile of road and 8,000 parks.
What was the Impact of the CCC?
CCC was heavily involved in the development of National and State Parks, roads, planting trees and the building of tourist facilities.