The Great Depression & The New Deal
Causes and Effects of the Depression
The Wall Street crash cost the country a lot of money. Some causes were, uneven distribution of income, and stock market speculation. Wages had barely gone up even with the booming economy. People were trying to play the stock market too much. There was also an overuse of credit. Since people had no money, they couldn't pay their debts.
The depression greatly affected the relationship and trading between America and Europe. Hoover's decision on what to do about this was one of the biggest mistakes of his presidency. Hoover finally decided to help struggling citizens, but his efforts were long over due and actually didn't help as much as they could have. Citizens eventually became tired of Hoover and tired of protesting him, so they voted him out of office and voted Roosevelt in.
Roosevelt's New Deal and Second New Deal
Roosevelt was stricken with Polio and needed a great amount of help with walking. The three R's with his deal were Relief, Recovery and Reform. New organizations that were added were the FDIC, HOLC, FCA, PWA, CCC, and the TVA. Roosevelt had a 100 day session with Congress in which a lot of laws and these organizations were passed.