(The New Deal & the economy) Impact of Alphabet Agencies

Question 1

What had happened for the first time ever?

Answer 1

The federal govt was actively engaged in helping the unemployed through directly funded work programmes via alphabet agencies.

Question 2

Why were work programmes like PWA and WPA created?

Answer 2

To provide work in the hope alphabet agencies would ‘kickstart’ the economy.

Question 3

While it is true that there was a reduction in unemployment at the start of the New Deal, what was it largely due to?

Answer 3

People working in short-term employment set up by alphabet agencies and not actual employers.

Question 4

What did many Americans return to after working for alphabet agencies?

Answer 4

Part-time work or unemployment.

Question 5

While the New Deal was a failure in regard to offering the unemployed long-term employment that was not based on agencies, what must be acknowledged?

Answer 5

It prevented total economic collapse and laid economic foundations for rapid economic growth in WW2 that was more sustained.

Question 6

OVERALL, what was the impact of alphabet agencies?

Answer 6

Provided short-term employment

Prevented total economic collapse

Laid the foundations for rapid economic growth in WW2