Give your opinion on whether or not the safeguards put in place to prevent another Great Depression, starting with the Roosevelt administration in the 1930s, can be effective today.
The Great Depression caused many Americans to lose their jobs, their homes, their dreams, and aspirations. Roosevelt created the “New Deal” in order to rebuild the economy and prevent this from happening again. The “New Deal” consisted of three goals: relief, recovery, and reform. One safeguard put in place that can be successful today is the creation of the Federal Relief Administration (FERA) which formed the Civilian Conservation Corps (CCC). These programs assisted in helping employ the unemployed. Increasing the employment rate is a great way to prevent another recession. Another safeguard that can be used today is government officials sitting down with business owners in order to set proper working standards and wage levels. It is important at least every five years to evaluate the minimum working wage for employees according to the cost of living in America. Another safeguard that is used today is regulating the stock market. The security of knowing that individuals who take advantage of inside information will be prosecuted reassures Americans that it is safe to deposit money in banks.
Compare the speculation of stock market investors in the Roaring Twenties to “house flippers” of the 2000s in terms of their motivations.
Both party’s motivations are the same. In the 1920’s stock market investors bought shares of companies with the intent that the value of the company would increase and they would be able to later sell the shares fir a large profit. The same is going on today with “house flippers”. They buy houses for cheap in order to “flip” them and make a profit. Their motivations are the same which is making a profit.
Compare the numbers and types of people who benefited from the frenzied trading on Wall Street in the 1920s with those who benefited...
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