How effective was the New Deal Flashcards
Explain the role of Roosevelt and confidence building.
In his aunaugral speech Roosevelt began reinstalling confidence in Americans that the depression could be overcome. He had new ideas for large scale government actions to solve the crisis. Which meant abolishing laissez faire and asked congress to increase the power of the federal government so he could take responsibility for welfare of people, the protection of workers and the running of bussinesses.
Why was the role of Roosevelt and confidence building important?
Roosevelt created a strong and assertive image to the public and his New Deal measures gave the impression of a man taking charge and confident in his ability. By restoring his confidence in people and businesses he helped rebuild the economy.
Why was the role of Roosevelt and confidence building limited?
Some Americans criticised him and claimed he was acting like a dictator. The left claimed his policies were too facist and the right claimed they were too socialist and he was acting like a communist.
Explain the effectiveness in tackling banking.
Roosevelt’s first act was to deal with banks, he closed all banks for a week and passed the Emergency Banking Releif Act which only allowed financially secure banks to reopen. He encouraged the people to put their money back into banks.
Why was the effectiveness in tackling banking important?
Properly regulating the failing banking systems helped to restore public confidence in the banks and helped to secure them to become self sufficient in the long term.
Why was the tackling of banking less effective?
Some believed that Roosevelt did not go far enough and that he should have nationalised the banking system.
Explain the improvement to industry and workers’ rights
One of Roosevelt’s controversial measures was the creation of the National Recovery Act which introduced new agencies to tighten the relationship between the government and the business. The NRA helped to establish codes of conduct by setting prices, production levels, minimum wages and maximum hours within each industry. The NRA supported workers in joining trade unions.
How important was the improvement to worker’s rights
16 million worker’s were coved by these codes and child labour was outload making it a partial success. Workers went on to a minimum wage of $1.25 and trade unions were legally allowed to make bargains with employers which resulted in an increase in membership.
How was the improving workers’ rights less effective?
Many of the codes were not practical, small businesses could not afford wages and trade unions were rarely consulted. Some employers such as Henry Ford refused to sign as they hated trade unions. The NRA was declared unconstitutional in 1935.
Explain the effectiveness of farmers and the new deal
The Agricultural Adjustment Act encouraged those left in farming to grow fewer crops so prices would go up - benefit for farmers, not for consumers.
The AAA paid farmers to destroy some produce - six million piglets were slaughtered, the meat was canned and given for free to the unemployed.
Why were farmers and the New Deal important?
The Act improved the lives of farmers as prices rose, evictions decreased and the farmers income increased. by 1940 6 million farmers received federal subsidies under the farm relief Act.
Why were farmers and the New Deal limited?
It did not effectively deal with the nations economic problems because people could not consciously destroy produce, this condition generated public bathlash. The Supreme Court ruled in unconstitutional in 1936 as it dealt with state issues rather than federal issues.
