The Usa 1919-1941: the New Deal Essay | Student Essay

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FDR and the New Deal

Summary: The New Deal was the policy enacted by President Franklin D. Roosevelt to recover and reform the economy from the Great Depression. Operating in three phases -- relief, recovery, and reform -- the New Deal changed and shaped the American economy in many ways. The organizations that resulted from the New Deal have become an important part of American life and built a closer relationship between the government and its citizens.
After the tragic event of the First World War, another catastrophic event hit the United States. When the stock market crashed in 1929, the United States under an economic recession known as the "Great Depression" that lasted for ten years. There are many theories that led to the Great Depression. Peter Temin's theory state that "The Great Depression was caused by catastrophically poor monetary policy pursued by the United States Federal Reserve during the years leading up to the Great Depression. The policy of contracting the money supply was an attempt to restrain inflation, which exacerbated the actual problem in the economy, which was deflation." President Franklin D. Roosevelt along with his adviser group called "Brain Trust" propsed a policy called "The New Deal" to recover and reform the economy. The New Deal operated in three phrases: relief, recovery and reform.

The first phase of the...

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