The Great Depression

By 1933, the United States had been suffering under the effects of the Great Depression—the worst depression in American history-for four years. During the Depression, with the loss of work and the lowering of wages, millions of Americans sank into poverty. Under the New Deal initiated by President Franklin Roosevelt, social welfare programs, including those that helped pay for health care for Americans, came under the federal government's auspices.

The Field of Medicine

In the 1930s, the United States faced a serious problem in medical care in that many Americans could not afford it. Many people responded to this financial situation by curtailing visits to physicians and hospitals. At the same time, those people forced to seek medical help often could not pay their bills. As a result, the income generated by physicians and hospitals dropped. Hospitals further suffered as charitable contributions fell. Private...