Question

Explain how President Roosevelt's New Deal had immediate and far reaching effects on the U.S. Economy.

Answer 1

New deal is the name given by the president Franklin D. Roosevelt to his interventionist policy set in motion to fight against the effects of the great depression in the United states.

Commonly, two new deals are distinguished. A first, particularly marked by the "one hundred days of Roosevelt" in 1933, which aimed at an improvement of the situation in the short term. We can find, then, bank reform laws, urgent social assistance programs, work aid programs, or even agricultural programs. The government made important investments and allowed access to financial resources through the various government agencies. The economic results were moderate, but the situation improved. The "second" new deal extended between 1935 and 1938, putting forward a new distribution of resources and power on a broader scale, with trade union protection laws, the social security law, as well as aid programs, for farmers and street workers.

Answer 2

The correct answer is the following.

President Roosevelt’s New Deal had immediate effects in the United States economy because its program aimed to provide reforms that helped the citizens and represented some kind of relief for families during the recovery.

Since 1933, Roosevelt installed many programs that impacted the U.S. economy such as agriculture, finances, labor, and industry. Let’s see some of the programs that had immediate success:

The Public Works Administration or PWA hired unemployed people to work in public infraestructure projects such as buildings and roads. This program reduced unemployment.

The National Recovery Administration or NRA established a mínimum wage and maximum hour for daily work and confronted unfair labor practices.

The Agricultural Adjustment Administration or AAA allowed farmers to adjust their product’s prices and supported their work in the fields.