How did the New Deal Assist Recovery from the Great Depression?

1638 WordsFeb 4, 20187 Pages
A. Plan of investigation: To what extent did the New deal programs and progressive reform help the United States economy recover from the world wide Great Depression ? Thesis: The New deals legislation has played a very integral part in helping recovery effort during the great depression because it led to a greater employment, and restored the security in the American economy. Although not perfect, the new deal success ultimately set the precedent for future progressive reform during times of economic depression and recession. B. Summary of Evidence: 1920's American Economy: • The 1920's were a flourishing time for the Capitalistic world. • Most Americans discarded progressive candidates in support of conservatives who believed in a traditional Laissez Faire economy. Future democrat president Franklin Roosevelt predicted they" could not hope to return to power until the Republicans led the nation to a serious period of depression and unemployment.'" (Kennedy). • Laissez Faire economics allowed business to thrive • Farmers recession was happening in America • The GNP of the US grew 2.7% a year from 1921-1929. Near to full employment. US exports, and investments were also at all time highs at the time. The DJIA quadrupled in the period, "people and banks believed that the stocks would never crash" (Smiley). The crash: • The US stock market crashed on October 24, the DJIA dropped 21%, and it crashed even worse 5 days later Tuesday
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