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Why Did The New Deal Fail

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Why Did The New Deal Fail
The Great Depression was a massive economic collapse. The primary cause was citizens taking out too much cash from the bank causing the banks to fall behind and lose to much money. Then banks began to close and now citizens couldn’t pay off debts, their bills and their taxes. Companies couldn’t pay their employees resulting in unemployment rates to rise rapidly until over one fifth of the U.S. citizens in the labor force were unemployed. Farmers ended up overproduced goods which caused the overall value of their products to fall. The New Deal is thought to have fixed this by creating agencies to help people find jobs, feed the poor, build new businesses, and assist in raising product value. That isn’t the truth, though, because there is a …show more content…
The National Recovery Administration provided white people job priority and gave lower pay scales to blacks. This made it much harder for blacks to get out of unemployment and poverty. In a fireside chat FDR says, “Next, congress is about to pass legislation that will greatly ease the mortgage distress among farmers and homeowners of the nation...,” (Franklin D. Roosevelt, 1). The problem with this is the Federal Housing Authority refused to guarantee blacks’ mortgages who were buying in white neighborhood which defeats the purpose of mortgage distress being eased if they won’t even be guaranteed for blacks. The anti-lynching bill failed to be passed and the poll tax never got removed which both affect blacks (African Americans and the New Deal, 2). People will say that they didn’t discriminate against children because there were warm meals getting to 10000 schools daily to assist unnourished children (Ellen S. Woodward, 4). The problem here is, how do we know it is getting to children of all ethnicities and being evenly distributed. This is why the fact of warm meal distribution to children is inapplicable in countering this argument. This all totals to a failure of the new deal due to

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