Franklin D. Roosevelt: The New Deal

Topics: New Deal, Great Depression, Works Progress Administration Pages: 53 (1838 words) Published: November 2, 2014
The National Industrial Recovery Act (NIRA) was an act designed to regulate industry in an attempt to stimulate economic recovery after experiencing severe deflation. Along with that, it was supposed to help set up maximum work hours, and minimum wages, while encouraging collective bargaining for unions. In my opinion, the act was successful because it was one of the acts established in Roosevelt’s first 100 days, and it may have been strict, but did amongst other things help to stimulate the economy. And the goals of setting up maximum working hours was eventually reached, and minimum wage was also established in 1938. Can be categorized as a recovery act.

The Agricultural Adjustment Act (AAA) was designed to restore prices being paid to farmers for their goods to a level equal in purchasing power to that of 1909–14, which was a period of comparative stability. Crops were so abundant and the prices were so low that farmers were making little if any profit at all. It can be seen as a success, but drought conditions may have also impacted the price increase. Without the drought conditions, little change would have occurred and this act would be seen as a failure. Can be categorized into a recovery act. The Agricultural Adjustment Act of 1938 was an alternative to the previous Agricultural Adjustment Act of 1933.

The Emergency Banking Relief Act was put in place as a way for American’s to regain confidence in the economy. In one of FDR’s fireside chats, he said “I can assure you it is safer to keep your money in a reopened bank than under the mattress.” Banks were shut down for four days and were not allowed to be reopened until they were inspected and deemed alright to reopen. After the four day bank closure, many people were returning to banks in order to redeposit their money. Wall Street saw the Dow Jones increase by over 15%, the largest one day increase ever. This act also eliminated the United States gold standard, which in turn gave way to monetary policy. This act can be categorized into a relief act.

The Glass-Steagall Banking Act was put in place to help prevent commercial banks being too speculative and to split investments and commercial banking activities. Sometimes banks would invest in stocks and then go on to encourage the clients to invest in that stock just to make the bank more money. The goal of this act was to eliminate any such cases occurring. The act was seen as an overreaction by many, but the act was successful for the time because it insured that banks would have more stability and it was in place for over 60 years. This can be categorized as a reform act.

The Federal Reserve Bank Upgrade was when the currency note was first used. There was to be no more than 12 federal reserve banks, This created a national monetary system, and restored faith in our economy. This act was successful in restoring belief in our economy, This can be categorized as a reform act.

The Gold Reserve Act took away all the gold from the people and placed it into the hands of the government devaluing the dollar. The act increased the value of the United States gold reserve by $2.81 billion overnight. Short term goals of the act were met, but when the act was repealed in the 1970’s, it led to stagflation. This can be categorized as a reform act.

The Securities Exchange Act was designed to help investors in the country and to discourage the secondary sales of products. It helped the economy as a whole. It was to prevent fraud and the act was successful in reaching their goals. The act can be categorized as a reform act.

The Farm Credit Act aimed to revamp the FICBs and establish a new production credit system for farmers and ranchers through local Production Credit Associations. The goals were reached making it successful. 13 new banks were created as well. This can be categorized as a relief act.

The Civilian Conservation Corps was one that was dear to FDR’s heart. It was designed to help preserve the...
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