Question

Why was the new deal initiated? what problems did it address? what were some possible unintended consequences of the new deal? did the new deal solve the problems it was designed to solve? do you believe the legacy of the new deal is a positive or negative? explain?

Answer 1

1) The New Deal was initiated as a way to help America escape the Great Depression. This new set of federal laws and agencies, created by Franklin D. Roosevelt, was meant to:

--help the American economy recover.

-- provide immediate economic relief to those who need it.

--reform certain industries (like the banking industry) to ensure that this type of economic collapse does not happena again.

2)This New Deal addressed problems with the stock market, American economy, and the banking industry. Roosevelt developed federal agencies like the Securities and Exchange Comission to oversee the stock market and he enacted laws such as the bank holiday to help banks re-establish themselves with paper currency.

3) One unintended consequence of the New Deal was that American citizens became more reliant on the federal government to provide resources/support during hard economic times. Before this New Deal, there were very few instances of the federal government getting directly involved in the economy in order to help citizens.