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New Deal

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The New Deal was a big plan to help the United States. It happened between 1933 and 1938. This was a response to the Great Depression. The Great Depression was a very hard time for the country.

US Unemployment from 1910-1960
US Unemployment from 1910-1960

Many people lost their jobs during this time. In fact, 25 percent of workers had no jobs.

American union bank
American union bank

Banks also failed, and people lost their savings. This caused a lot of worry for many families. President Franklin D. Roosevelt wanted to fix these problems. He believed the government needed to step in to help.

Roosevelt used three main goals called the "3 R's." These were relief, recovery, and reform. Relief meant helping people who were poor or out of work. Recovery meant helping the economy get back to normal. Reform meant changing the financial system to prevent future crashes.

Franklin-roosevelt
Franklin-roosevelt

He created many new groups to do this work. For example, the CCC let young men work on government land.

Wpa1
Wpa1

The TVA brought electricity to the Tennessee River area. These programs helped people find ways to earn money again.

There were two main parts to this plan. The First New Deal began in 1933. It focused on fixing banks and helping farmers.

NewDealNRA
NewDealNRA

The 1933 Banking Act created the FDIC to protect money in banks. The Second New Deal started in 1935. This part focused more on workers and the elderly.

SocialSecurityposter1
SocialSecurityposter1

It included the WPA to build bridges and libraries.

New York City municipal airports, WPA poster, ca. 1937
New York City municipal airports, WPA poster, ca. 1937

This second part also helped people stay safe while working.

Many important laws were passed during these years. The Social Security Act helped senior citizens and the disabled.

SocialSecurityposter1
SocialSecurityposter1

The Fair Labor Standards Act of 1938 set a minimum wage. It also created a 40-hour work week. This law helped stop unfair child labor.

FERA, Camps for Unemployed Women, Maine - NARA - 196588
FERA, Camps for Unemployed Women, Maine - NARA - 196588

Other groups like the SEC protected people who invested money. These laws changed how businesses and banks worked in America. Some of these rules were even challenged in the Supreme Court.

Even though the plan helped, it did not end the Depression alone. Many historians say full employment did not arrive until World War II began.

Real GDP of the United States from 1910-1960
Real GDP of the United States from 1910-1960

However, the New Deal changed how the government works. It created a new group of supporters for the Democratic Party. Many of the agencies made during this time still exist today.

TVA water supply Wilder
TVA water supply Wilder

For instance, the Social Security System is still very important. The FDIC also still helps protect people's bank deposits.

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🖼️ Images & Media (23)
File:Real GDP of the United States from 1910-1960.svg
Real GDP of the United States from 1910-1960.svg
File:US Unemployment from 1910-1960.svg
US Unemployment from 1910-1960.svg
File:Editorial cartoon mocking FDR's "Alphabet agencies".jpg
Editorial cartoon mocking FDR's "Alphabet...
File:American union bank.gif
American union bank.gif
File:Franklin-roosevelt.JPG
Franklin-roosevelt.JPG
File:PWAPBD restored.jpg
PWAPBD restored.jpg
File:TVA water supply Wilder.gif
TVA water supply Wilder.gif
File:NewDealNRA.jpg
NewDealNRA.jpg
File:US Manufacturing Employment Graph - 1920 to 1940.svg
US Manufacturing Employment Graph - 1920...
File:Roanoke,_Virginia_HOLC_Redlining_Map.jpg
Roanoke,_Virginia_HOLC_Redlining_Map.jpg
File:SocialSecurityposter1.gif
SocialSecurityposter1.gif
File:New York City municipal airports, WPA poster, ca. 1937.jpg
New York City municipal airports, WPA...

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