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shutvik [7]
3 years ago
7

Evaluate the economic and political impact of the New Deal on America. Include both short term and long-term effects on America.

History
1 answer:
motikmotik3 years ago
7 0

At the political level, the executive branch and the presidential cabinet strengthened their influence without tilting the country to the dictatorship. Roosevelt knew how to establish a direct link with the people by the numerous press conferences he had, but also by the use of the radio in his famous "Talks by the fireplace" and his many trips. The New Deal allowed a democratization of culture as well as the reconciliation of artists with society and its spirit permeated the country: cinema and literature were more interested in the poor and social problems. The Works Projects Administration came to launch numerous projects in the field of arts and literature, in particular with the five programs of the Federal Project Number One in favor of artists. The WPA allowed the realization of 1566 new paintings, 17 744 sculptures, 108 099 oil paintings and thus develop artistic education. But even in this field, the balance has to be qualified: although the American artists were maintained by public funds and acquired a national recognition, this cultural policy was interrupted by the Second World War and the subsequent death of Roosevelt. From the point of view of the New Deal agencies, the Public Works Administration, which spent 13 billion dollars in 1942, and used up to 3.5 million unemployed people in 1938, can also be cited. In addition to public services, we can mention 285 airports, 1 million kilometers of roads, 77,000 bridges and 122,000 public buildings in the seven-year period.

On the economic level, the situation was better at the beginning of World War II than in 1933: industrial production regained its level of 1929. Counting as "100" the situation of 1929, the GNP in constant prices was "103" in 1939 , «96» if the GNP / hab. However, unemployment was always maintained at a massive rate: 17% of the American workforce was unemployed in 1939, or 9.5 million people. However, they received an unemployment benefit, which represents a novelty in relation to the situation preceding the New Deal. The active population increased by 3.7 million people between 1933 and 1939. The New Deal also inaugurated a period of state interventionism in numerous sectors of the US economy: although there were no nationalizations, federal agencies developed their activities and employed more officials with university degree. The measures of the New Deal thus laid the foundations of the future American superpower.

In spite of everything, the New Deal did not return the prosperity of the 1920s, and in 1941, six million Americans were still waiting for a job. Full employment was not achieved before the Japanese attack on Pearl Harbor, because just the entry of the United States into the war against the Axis generated a great stimulus for the heavy industry of the United States, one of the most extensive and diversified in the world, to be launched. to participate in the own effort of the war economy; the recruitment of troops and the demand of workers in the factories caused a revitalization of the economy that gradually reduced the number of unemployed. From the point of view of investment, the results were also regular: the opposition of the business circles to Roosevelt's action, and even their willingness to hinder the process, caused a drop in private investment, which the public could not compensate for. . However, the Roosevelt measures allowed to sustain the global demand, slowing down its fall. The economic recession of 1937 also played against Roosevelt, translating particularly by a 50% decrease in the value of the shares, and by a rise in unemployment that affected 11 million Americans that same year.

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