How Did The New Deal Lead Up To The Great Depression?
Matters did not get any better, by 1931, approximately 6 million Americans were trying to look for work but could not find any. At this time, the country’s industrial production had dropped by half since consumers were not buying anymore. Towns and cities were having soup kitchens, and breadlines because more and more Americans were becoming homeless. One might think that farmers would be doing much better since that was majority of flood supply. Wrong, farmers had been struggling up to the Great Depression due to drought and the falling food prices. Farmers couldn’t afford keeping up their harvest so was forced to leave the farms to rot. Due to farmers unable to keep up their harvest, many people were starving.
In the midst of the Great …show more content…
The New Deal was a quest to end the Great Depression but it didn’t end at just that. On March 4, 1933, Roosevelt stood in front of 100,000 people on Washington’s Capitol Plaza for his first inaugural address. Roosevelt declared that people were to stop withdrawing money from untrustworthy banks. People were withdrawing their money from banks because banks were failing so American’s were losing their money. Roosevelt’s Emergency Banking Act, was set in place hoping that American’s would trust in banks again for when they re-opened. The Emergency Banking Act was passed by congress on March 9. Roosevelt urged people to place the money they had already pulled out, to place it back in banks. By the end of March, more than half of banks had re-opened. Another step that Roosevelt took was by passing the 21st amendment, making it legal for Americans to buy beer. Shortly after he signed the Tennessee Valley Authority Act in 1933, allowing government to build dams along the Tennessee River. He believed that this would control flooding and generate inexpensive hydroelectric power for the people in the region. TVA encouraged reforestation and proper land use, and agricultural and industrial development. In May, Congress passed a bill
In the midst of the Great …show more content…
The New Deal was a quest to end the Great Depression but it didn’t end at just that. On March 4, 1933, Roosevelt stood in front of 100,000 people on Washington’s Capitol Plaza for his first inaugural address. Roosevelt declared that people were to stop withdrawing money from untrustworthy banks. People were withdrawing their money from banks because banks were failing so American’s were losing their money. Roosevelt’s Emergency Banking Act, was set in place hoping that American’s would trust in banks again for when they re-opened. The Emergency Banking Act was passed by congress on March 9. Roosevelt urged people to place the money they had already pulled out, to place it back in banks. By the end of March, more than half of banks had re-opened. Another step that Roosevelt took was by passing the 21st amendment, making it legal for Americans to buy beer. Shortly after he signed the Tennessee Valley Authority Act in 1933, allowing government to build dams along the Tennessee River. He believed that this would control flooding and generate inexpensive hydroelectric power for the people in the region. TVA encouraged reforestation and proper land use, and agricultural and industrial development. In May, Congress passed a bill