To what extent was the New Deal successful

To what extent was the New Deal successful

Advantages

  • Stabilising banking an the system of credit
  • Take America off the Gold Standard
  • Protection of farmers- money to refinance their loans to make them easier to pay
  • CVA- Civil Works Administration- managed by Harry Hopkins/ provided temporary employment for 4 million workers
  • Greatest achievement of New Deal was physiological- changing national mood from hopelessness to optimism
  • TVA- Tennessee Valley Authority- introducing electrification to rural areas/ hydroelectric power

Disadvantages

  • AAA- never achieved what it hoped for- wheat production fell from 864million bushels to about 564 millio bushels
  • AAA- terrible impact on rural poverty- sharecroppers- AAA made them reduce production of cotton
  • FDR afraid of antagonising southern politician and business leaders so did little to improve lives of poor African- Americans

Evaluation

Conclusively, the New Deal to a large extent was successful in reforming the banking system that sparked the Wall Street Crash of 1929, in doing so FDR was able to prevent anything like that happening again in the near future as shares could not be bought on credit for instance. However, one would agree that their needed to be greater emphasis on improving the state of the agricultural sector as the AAA was not radical enough to improve this dyeing industry. Overall, the New Deal brought stability back to the financial markets and people were viewing this change in a good light.

Comments

No comments have yet been made