The Great Depression and the New Deal: 1929 - 1940

The Great Depression and the New Deal: 1929 - 1940

Données clés

Faculté	Lettres
Département	Département d’histoire générale
Professeur(s)	Aline Helg
Cours	The United States and Latin America: late 18th and 20th centuries

Lectures

• The Americas on the eve of independence
• The independence of the United States
• The U.S. Constitution and Early 19th Century Society
• The Haitian Revolution and its Impact in the Americas
• The independence of Latin American nations
• Latin America around 1850: societies, economies, policies
• The Northern and Southern United States circa 1850: immigration and slavery
• The American Civil War and Reconstruction: 1861 - 1877
• The (re)United States: 1877 - 1900
• Regimes of Order and Progress in Latin America: 1875 - 1910
• The Mexican Revolution: 1910 - 1940
• American society in the 1920s
• The Great Depression and the New Deal: 1929 - 1940
• From Big Stick Policy to Good Neighbor Policy
• Coups d'état and Latin American populisms
• The United States and World War II
• Latin America during the Second World War
• US Post-War Society: Cold War and the Society of Plenty
• The Cold War in Latin America and the Cuban Revolution
• The Civil Rights Movement in the United States

The 1920s, known as the "Roaring Twenties," was a decade of prosperity and optimism in the United States, but it all came to an abrupt end in October 1929 with the stock market crash that triggered the Great Depression, the longest and most severe economic downturn in American history. The Great Depression had a profound impact on every aspect of American life, causing widespread unemployment, poverty, and financial instability. Millions of Americans lost their jobs, and many businesses and banks failed. The crisis also had a severe impact on agriculture, with many farmers losing their land. The Great Depression led to significant changes in the role of government in the economy, with the federal government taking on a more active role in managing the economy in order to stabilize it and promote growth. The New Deal policies of President Franklin D. Roosevelt helped to alleviate some of the worst effects of the Great Depression and laid the foundation for the country's economic recovery in the 1940s.

y aspect of American life. It came as a shock to many Americans, who were used to a decade of prosperity in the 1920s. The Great Depression was also severe and long-lasting, lasting for more than a decade and leaving no sector of the economy or society untouched. Millions of Americans lost their jobs, homes, and savings, and many were forced to rely on government assistance to survive.

The Great Depression also had a profound impact on the psychology and outlook of an entire generation of Americans. It created a sense of uncertainty and insecurity, and many people lost faith in the economic system and the ability of the government to provide for their well-being. The crisis also had a lasting impact on American politics, leading to a shift in the balance of power between the government and the private sector, and setting the stage for a more active role for the government in the economy.

The Great Depression also had a significant social impact, leading to the rise of social movements, changes in cultural values and a change in the relationship between government and citizens. It also created a sense of hopelessness and despair among many Americans, and it left an indelible mark on the collective memory of the nation.

The Great Depression had a profound effect on the American political system, leading to a shift in power between the Republican and Democratic parties. Prior to the Great Depression, the Republican Party had been the dominant political force in the United States since the end of the Civil War. However, with the onset of the Great Depression in 1929, the political landscape shifted dramatically as the Democratic Party, which had traditionally been associated with the South and Irish Catholic immigrants, transformed itself into the party of the left, the party of the working and middle classes, who were suffering from the economic downturn. The New Deal policies of President Franklin D. Roosevelt and his administration were instrumental in this shift, as they were popular among many Americans and helped to establish the Democratic Party as the dominant political force in the United States and also led to the emergence of new political movements such as the Progressive Party, which sought to address the economic and social issues arising from the crisis.

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Causes of the 1929 crash

The causes of the stock market crash of 1929 were complex and multifaceted. At the time, many Americans looked for the cause of the crash elsewhere and did not anticipate the severe and long-lasting nature of the economic downturn that followed. One common explanation was that the crash was caused by the economic instability in Europe, specifically the inability of European nations to pay the loans they had taken out with American banks after World War I.

While some historians and economists have pointed to European debt as a contributing factor to the stock market crash of 1929, more recent studies have suggested that the causes of the crash were primarily rooted in the United States itself. The second industrial revolution, which saw rapid technological advancements and increased industrial production, led to a period of economic growth and prosperity in the United States during the 1920s. However, this growth also contained the seeds of its own bankruptcy, as the economy was built on a foundation of speculation and debt.

There were also other factors that contributed to the crash. The stock market had been on a bull run for several years prior to the crash, with stocks prices rising to unrealistic levels. Many investors were buying stocks on margin, meaning they were borrowing money to purchase stocks and counting on the continued rise in stock prices to pay off their loans. This led to a speculative bubble in the stock market, which ultimately burst in October 1929.

Additionally, the rapid expansion of the automobile and household appliance industry in the United States during the 1920s contributed to the economic downturn that led to the stock market crash of 1929. As these industries grew, they gradually led to a saturation of the domestic market, as American companies were producing more cars and appliances than the American people could buy. This caused a decline in consumption, which in turn led to a decline in production. The excess supply of goods led to a decrease in demand and a decline in profits for companies in these industries. This, combined with the overvaluation of stocks in the stock market, led to a decline in business confidence, which was one of the factors that contributed to the crash.

There were also structural issues in the economy that contributed to the stock market crash of 1929. One of these was the increasing importance of consumer credit. As the economy boomed in the 1920s, consumer credit became more widely available, which allowed people to purchase goods and services they could not afford with cash. This led to an increase in consumer spending, which in turn helped to fuel the economic boom of the decade. However, when the economy began to decline, many people were unable to pay off their debts, which led to a decline in consumer spending and further exacerbated the economic downturn.

Another structural issue that contributed to the crash was the low interest rates that were in place at the time. Low interest rates made it easy for people to borrow money, which led to an increase in speculation and an overvaluation of stocks. When interest rates began to rise, many investors were unable to meet their financial obligations, which led to a decline in stock prices and the crash of the market.

Lastly, the lack of regulations on the stock market also contributed to the crash. There were few regulations in place to prevent insider trading or to protect investors from fraud, which led to a lack of transparency in the market. This made it difficult for investors to make informed decisions, and many ended up losing money as a result of the crash.

One of the key issues that contributed to the stock market crash of 1929 was the uneven distribution of wealth. The economic boom of the 1920s was not shared equally, with a large portion of the population not benefiting from the prosperity. Wages for working-class Americans were not keeping pace with the rising cost of living, and the concentration of wealth was becoming more pronounced. While production grew by 43% during the decade, wages for working-class Americans increased by only 11%. This led to a widening gap between the wealthy and the working class, which further eroded consumer confidence and contributed to the crash.

Furthermore, the uneven distribution of wealth also had a negative impact on the economy in the aftermath of the crash. As wealth continued to be too unevenly distributed, too much money went into profits, dividends, and industrial expansion, and too little went into the pockets of workers who are potential consumers. This led to a decline in consumer spending, which in turn led to a decline in production and a decline in employment. The lack of purchasing power among workers and the middle class led to a decrease in demand and further exacerbated the economic downturn.

The Great Depression brought to light the need for government intervention in the economy in order to redistribute wealth, provide jobs and social welfare to the population. This led to the New Deal policies of President Franklin D. Roosevelt. The New Deal programs sought to provide economic relief, recovery, and reform through various government-led initiatives, including public works projects, farm subsidies, and financial regulations.

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  USA annual real GDP from 1910–60, with the years of the Great Depression (1929–1939) highlighted.

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  The unemployment rate in the US 1910–1960, with the years of the Great Depression (1929–1939) highlighted.

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  The Dow Jones Industrial, 1928–1930.

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  US industrial production (1928–39).

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  US Farm Prices, (1928–35).

• GDP depression.png

  The overall course of the Depression in the United States, as reflected in per-capita GDP (average income per person) shown in constant year 2000 dollars, plus some of the key events of the period.

One way to have potentially avoided the Great Depression would have been for the government or industry leaders to take action to address the gap between production and wages. If wages for working-class Americans had been increased in proportion to the growth in production, the gap between the wealthy and the working class would have been narrower and more Americans would have had the purchasing power to buy the goods and services that were being produced. This could have prevented the decline in consumer spending that contributed to the crash.

Alternatively, lowering prices to sell more goods and services could have also helped to avoid the crisis. If prices had been lowered, more Americans would have been able to afford to buy the goods and services being produced, which would have helped to sustain the economic boom of the 1920s.

However, the Republican governments in power during this time did not take these measures to intervene and the big industrialists refused to see that they were accumulating something that would explode, they were focused on the short term profits and not the long-term stability of the economy. As a result, the stock market crash of 1929 occurred and the Great Depression began, which lasted for more than a decade.

The end of World War I marked also the beginning of a decline in the agricultural sector, which continued to worsen throughout the 1920s. The overproduction of agricultural goods led to a decrease in prices, making it difficult for farmers to make a living. This led to a decline in the rural population, as many farmers were forced to leave their land in search of work in the cities.

The decline of the rural sector also had a negative impact on the economy as a whole. The decrease in demand for agricultural goods led to a decline in production and a decrease in employment in the agricultural sector. This in turn led to a decline in demand for goods and services in the rural areas, further exacerbating the economic downturn.

The situation of the rural population was dire, and led to the introduction of the New Deal programs, which aimed to provide economic relief and recovery for farmers by implementing policies such as crop reduction, price supports and subsidies.

The Republican administrations in power during the 1920s and early 1930s did little to address the issues facing the agricultural sector. The overproduction of agricultural goods and the resulting decrease in prices led to a decline in the rural population, as many farmers were forced to leave their land in search of work in the cities. This led to a migration of people from rural areas to urban areas. As a result, the cities were becoming more populated as the number of workers increased, while the countryside was becoming more depopulated.

This trend of urbanization had a negative impact on the economy as a whole. The decline of the rural sector led to a decrease in production and a decrease in employment in the agricultural sector, which in turn led to a decline in demand for goods and services in the rural areas. This further exacerbated the economic downturn that was already taking place as a result of the stock market crash of 1929.

The Republican administration's lack of action to address the issues facing the agricultural sector contributed to the worsening of the Great Depression, and it was only with the New Deal programs that farmers were provided with some relief and support.

The crash of late October 1929

Crowds are gathering outside the New York Stock Exchange after the crash.

The crash of late October 1929 was the result of a number of factors that had been building up over time. The economic boom of the 1920s was based on increasing consumer credit, which allowed people to purchase goods and services that they could not afford to pay for outright. To further stimulate credit, the government lowered interest rates, making it cheaper for people to borrow money. However, instead of investing this money in long-term projects such as industrial equipment and infrastructure, many people invested it in the stock market, leading to a speculative bubble in the value of shares.

This artificial boom in the stock market further concealed the underlying issues in the economy, such as the overproduction of goods, the decline of the agricultural sector, and the uneven distribution of wealth. When the bubble finally burst in late October 1929, the stock market crash caused a panic and a loss of confidence in the economy, leading to a downward spiral in economic activity.

The crash of the stock market can be seen as the trigger that set off the Great Depression, but it was the result of deeper structural issues that had been building up over time. The government's lack of intervention and the focus on short-term profits, coupled with the over-reliance on consumer credit and speculation, contributed to the severity of the depression.

Hooverville along the Willamette River in Portland, Oregon (Arthur Rothstein).

The stock market crash of 1929 was a severe and sudden event. Beginning on October 22nd and continuing through October 29th, the stock market saw a sharp decline in value, with millions of shares being put back on the market but failing to find buyers. Some of the strongest shares lost as much as 80% of their value. This sudden decline in the stock market caused a panic among investors and a loss of confidence in the economy.

As a result of the crash, the entire banking system, which was based on credit and confidence, collapsed. This led to widespread bankruptcies and financial ruin for many individuals and businesses. Banks were forced to close their doors, and credit companies were unable to recover their debts. The crash also led to a decline in consumer spending, as people lost confidence in the economy and tightened their belts, which further exacerbated the economic downturn.

This crash was a pivotal moment in the history of the Great Depression, as it was the trigger that set off the severe economic downturn that lasted for over a decade. The effects of the crash were felt throughout the entire economy, and it had a profound impact on the lives of millions of Americans.

Migrant Mother, by Dorothea Lange, 1936. This photograph became one of the symbols of the Great Depression.

The Great Depression had a severe impact on the American economy. Between 1929 and 1932, the gross national product of the United States fell by more than 40%. Industrial production fell by half, and agricultural production fell by a similar amount. This led to a decline in economic activity and a sharp increase in unemployment. The number of unemployed Americans rose from 1.5 million in 1929 to 12 million in 1932. It had a devastating impact on the lives of many Americans. The unemployment caused by the economic downturn led to a decline in income for many families, resulting in increased homelessness, hunger, and poverty. Many Americans struggled to afford basic necessities such as food, housing, and healthcare.

In rural areas, the situation was similarly dire. The fall in agricultural prices meant that farmers were unable to make a living from their land, leading to a decline in rural populations. Many farmers were forced to leave their land and move to the cities in search of work. This led to a decline in agricultural production and a further fall in prices, exacerbating the economic crisis in rural areas.

The Great Depression was a severe humanitarian crisis as well as an economic one, with many Americans struggling to survive in the face of widespread poverty, unemployment, and food insecurity. The government policies and programs implemented during the New Deal era were aimed at providing relief for the unemployed and the poor, and to stimulate economic recovery, but the problem was systemic and took many years to be solved.

The decline in economic activity and the increase in unemployment led to a decline in consumer spending, which further exacerbated the economic downturn. This led to a vicious cycle of declining economic activity, rising unemployment, and falling consumer spending. As a result of the depression, many Americans struggled to make ends meet and were unable to afford basic necessities such as food, housing, and healthcare.

The Great Depression had a devastating impact on the lives of millions of Americans, particularly those in the middle class. Many people lost their homes, savings, and livelihoods, and were forced to live in poverty. The government, led by President Herbert Hoover, was slow to respond and many Americans felt abandoned by their leaders.

One of the most visible signs of the crisis was the emergence of "Hoovervilles," makeshift communities of homeless people who lived in shacks and tents on the outskirts of cities. These communities, named after President Hoover, were a reminder of the depth of the crisis and the government's failure to address it. Many Hoovervilles were located near rivers, as residents had to gather water from there, and near the trash dump as they had to scavenge for food.

The residents of Hoovervilles were often immigrants, African Americans, and other marginalized groups who were disproportionately affected by the economic downturn. They were forced to rely on their own resources and the generosity of others to survive. This was a humbling experience for many Americans who were used to a more comfortable standard of living.

During the Great Depression, African Americans and other marginalized groups were disproportionately affected by unemployment and poverty. They were often the first to lose their jobs and were more likely to be unemployed than white workers. Additionally, many African Americans were forced to leave the cities and return to the South in search of work, leading to an increase in the number of sharecroppers and tenant farmers.

Mexican immigrants were also affected by the economic downturn. Many were deported in large numbers as part of government efforts to reduce unemployment. This was known as the "Mexican Repatriation" and it was estimated that between 500,000 and 2 million people of Mexican descent, both legal and undocumented, were forced to leave the US, many of whom were US citizens.

The situation in Mexico was not better, many Mexican workers had to return to their country and face a difficult situation, since the economy was not prepared to receive so many workers and unemployment was also high in Mexico. The repatriation caused a significant disruption to the lives of many Mexican Americans and their families, and it was a traumatic experience for many.

The Great Depression was a harsh period for many Americans, but it was particularly difficult for marginalized groups such as African Americans and Mexican immigrants. They faced discrimination, unemployment, and poverty and it was harder for them to access government programs or other forms of relief.

Election of 1932

During the Great Depression, President Herbert Hoover, a Republican, believed that the economy would recover on its own and that government intervention would only make things worse. He believed in the principles of "rugged individualism" and minimal government intervention in the economy. He also believed that voluntary actions by businesses and charitable donations from the rich would be sufficient to help those in need. However, as the depression deepened and the number of unemployed and homeless people increased, it became clear that the government needed to take a more active role in addressing the crisis.

In 1932, the Great Depression had been ongoing for several years, and it was clear to many Americans that the Republican Party's laissez-faire approach, which relied on minimal government intervention in the economy, was not working to solve the crisis. Unemployment, poverty, and homelessness were widespread, and the number of people in need of assistance was rapidly increasing. The public was looking for a change, and the election of 1932 presented an opportunity for the Democratic Party, which proposed a more active role for the government in addressing the economic crisis. Franklin D. Roosevelt, the Democratic candidate, promised a "New Deal" for the American people, which would include government programs and policies aimed at providing relief to the unemployed, stimulating economic growth, and reforming the financial system. This message resonated with the electorate, and Roosevelt was elected in a landslide, signaling a shift in public opinion towards a more interventionist approach to addressing the economic crisis.

During the 1932 presidential election, the Republican Party decided to nominate incumbent President Herbert Hoover for re-election, despite the ongoing economic crisis and widespread public dissatisfaction with his administration's handling of the Great Depression. The party believed that Hoover's experience and leadership during the crisis would be an asset, and they campaigned on the idea that the economy was starting to recover and that Hoover's policies would lead to a full recovery.

Franklin D. Roosevelt was often referred to as a "man of renewal" during his presidency, due to the ambitious and wide-ranging nature of his New Deal programs. He was indeed a distant cousin of Theodore Roosevelt, another President from the Roosevelt family, who also served as President of the United States from 1901 to 1909.

Franklin D. Roosevelt was born in 1882 as the only child of a wealthy New York family. He was educated at Groton, a prestigious boarding school in Massachusetts, and then attended Harvard University, where he was a member of the Delta Kappa Epsilon fraternity and the varsity rowing team. After Harvard, he attended Columbia Law School, but did not graduate. He went on to marry Eleanor Roosevelt, who was his fifth cousin once removed and a niece of Theodore Roosevelt. She was also from a wealthy and well-connected family, and was known for her active involvement in social and political causes.

Franklin D. Roosevelt had always been interested in politics, even as a young man. After his education, he entered public service and became involved with the Democratic Party. In 1910, he was elected as a member of the New York State Senate, where he served for two terms, from 1911 to 1913. While in the State Senate, he became known for his progressive views and his support for labor and consumer rights. He also served as Assistant Secretary of the Navy under President Woodrow Wilson from 1913 to 1920, where he gain more experience and knowledge in politics. In 1921, Franklin D. Roosevelt was struck by polio, which left him paralyzed in both legs. Despite this setback, he did not give up on politics and continued to be active in the Democratic Party. His struggle with polio taught him to be more patient and to persevere in the face of adversity. He learned to use this experience to be more resilient and to better understand the struggles of others. He went on to become one of the most influential and successful presidents in American history, leading the country through the Great Depression and World War II. He served as President for an unprecedented four terms, from 1933 to 1945.

In 1920, he ran for Vice President of the United States as James M. Cox's running mate but they lost the election to Warren G. Harding. After his failed Vice Presidential bid, he returned to New York and continued to be active in the Democratic Party. After his struggle with polio, Franklin D. Roosevelt decided to return to politics as a more progressive Democrat. In 1928, he was elected Governor of the State of New York. At the time of his election, the country was in the midst of the stock market crash and the beginning of the Great Depression. As Governor of New York, Franklin D. Roosevelt implemented a number of progressive reforms and aid programs to address the economic crisis. He created a commission for the unemployed to help provide assistance to those in need and he also spoke out in favor of retirement pensions and laws in favor of workers' unions. These actions demonstrated his commitment to addressing the economic and social issues facing the country and helped to build his reputation as a leader who was willing to take bold action to address the crisis. As Governor, he implemented a number of progressive reforms and began to build a political base that would help him win the Presidential election in 1932. These actions also helped him to build a political base that would support him in his run for the presidency in 1932, where he promised to implement similar policies on a national level with his New Deal program.

Wheelchair photo, 1941.

Franklin D. Roosevelt's experience as Governor of New York and his progressive reforms and aid programs to address the economic crisis helped to establish him as a strong leader and potential candidate for the presidency. He campaigned on a platform of a "New Deal" for the American people, which would include government programs and policies aimed at providing relief to the unemployed, stimulating economic growth, and reforming the financial system. His message resonated with the American people, and he was chosen as the Democratic nominee for the presidential election of 1932. He went on to win the election in a landslide victory against the incumbent president Herbert Hoover, who was running for re-election on the Republican ticket.

At the nomination for the presidential election he promised a "New Deal for the American people". He promised to implement government programs and policies aimed at providing relief to the unemployed, stimulating economic growth, and reforming the financial system. His New Deal programs included the creation of the Civilian Conservation Corps, the Federal Emergency Relief Administration, the National Recovery Administration, and the Social Security Act, among others. These programs aimed to provide immediate relief to those in need, as well as to implement long-term reforms to stabilize the economy and create a more equitable society. His message resonated with the American public, and he was elected in a landslide victory in the 1932 presidential election. 

Roosevelt's speeches during the campaign were filled with hope and optimism, and he promised to take bold action to address the economic crisis. He campaigned on the idea of a "New Deal" for the American people, which would include government programs and policies aimed at providing relief to the unemployed, stimulating economic growth, and reforming the financial system. He also promised to take on the powerful interests that had contributed to the crisis, such as Wall Street bankers and large corporations. His message resonated with the electorate, and he was elected in a landslide, defeating incumbent President Herbert Hoover. His ability to connect with the American people and his ability to convey a sense of hope and optimism helped him to win the support of the electorate, and he was able to implement many of his New Deal programs during his presidency. Some historians have drawn parallels between Franklin D. Roosevelt and Lazaro Cardenas, a Mexican politician who served as President of Mexico from 1934 to 1940. Both were seen as leaders who sought to implement progressive policies and redistribute wealth in their respective countries. Cardenas, like Roosevelt, implemented a number of social and economic reforms, including the nationalization of key industries and the expansion of land reform programs. Both leaders also had a charismatic and convincing speaking style that resonated with the public, and both were known for their ability to mobilize popular support for their policies.

Franklin D. Roosevelt's victory in the 1932 presidential election marked the end of the Republican's nearly uninterrupted control of the White House since the Civil War. With the Democrats also winning control of both houses of Congress, Roosevelt had a mandate to implement his "New Deal" policies aimed at addressing the economic crisis and providing relief to the American people. This included a wide range of programs, such as the creation of the Federal Emergency Relief Administration, the National Recovery Administration, and the Agricultural Adjustment Administration, as well as the establishment of social welfare programs like Social Security and the Civilian Conservation Corps.

Roosevelt's election in 1932 marked a significant shift in American politics. He was able to bring together the Democratic Party, which had been divided along regional lines, and his victory ushered in a period of Democratic dominance that lasted until the election of Republican Dwight D. Eisenhower in 1952. With a solid Democratic majority in Congress, Roosevelt was able to implement his New Deal program, which aimed to address the effects of the Great Depression through a range of economic and social reforms. The New Deal included a number of significant programs such as the Civilian Conservation Corps, the Federal Emergency Relief Administration, and the National Recovery Administration, which aimed to stimulate economic growth and provide assistance to those in need.

The Brain Trust helped Roosevelt develop his New Deal program, which included a number of policies and programs aimed at addressing the economic crisis of the Great Depression. These included the establishment of the Federal Emergency Relief Administration (FERA), which provided direct relief to the unemployed and underemployed, the Agricultural Adjustment Administration (AAA), which aimed to increase farm incomes by reducing crop surpluses, and the National Recovery Administration (NRA), which sought to stabilize prices and wages and promote fair competition in business. Additionally, the New Deal also included the establishment of the Civilian Conservation Corps (CCC), which employed young men to carry out conservation and development projects, and the Federal Deposit Insurance Corporation (FDIC), which insured bank deposits to prevent bank failures. All these policies and programs were designed to boost economic activity and provide relief for those suffering during the Great Depression.

This idea was known as the "New Deal" and it was based on the belief that government intervention in the economy was necessary to stimulate growth and reduce unemployment. Roosevelt's administration implemented a series of policies and programs, such as the National Recovery Administration (NRA), the Agricultural Adjustment Administration (AAA), and the Works Progress Administration (WPA), to achieve these goals. The New Deal also aimed to provide relief for the unemployed, support for farmers and rural communities, and to increase access to housing, education, and healthcare.

Achievements : 1933 - 1935

Upon its election, Roosevelt's call for action included programs to aid the unemployed and a greater role for the federal government in the economy. He stated in a speech, "The only thing to fear is fear itself. Above all, every American must regain confidence in themselves and in the American nation."  This statement became one of his most famous quotes, and he used it to reassure the American people that he would take action to combat the economic crisis. He quickly implemented a series of policies and programs, known as the New Deal, to address the economic problems facing the country. These included measures such as the creation of the Federal Emergency Relief Administration, the Civilian Conservation Corps, and the National Recovery Administration. The New Deal aimed to promote economic recovery, increase employment, and improve the standard of living for Americans. These policies and programs had a significant impact on the economy and helped to alleviate the suffering caused by the Great Depression.

The goal of Roosevelt's policies was not to fundamentally alter the American economic and social system, but rather to revitalize capitalism and implement reforms that did not infringe on private property, unlike the approach taken in Mexico where state capitalism was being established.

Roosevelt's main focus was to address the immediate issues of unemployment and economic insecurity faced by the American people. He called for immediate government assistance programs and increased federal intervention in the economy. He also emphasized the importance of restoring confidence and trust in the American people and the nation. Additionally, he proposed a plan to address the banking crisis by closing weak banks and providing subsidies to strong ones.

Employment and Activities poster for the WPA's Federal Art Project, 1936.

The National Recovery Administration (NRA) was established by President Franklin D. Roosevelt as a federal agency during the New Deal era, with the goal of promoting economic recovery and stability. The agency sought to achieve this through the implementation of codes of fair competition for various industries, the establishment of minimum wages and maximum working hours, and the encouragement of collective bargaining. Despite these efforts, the NRA faced criticism for its overbearing approach and emphasis on raising prices rather than boosting production. In 1935, the Supreme Court deemed the organization unconstitutional.

WPA employed 2 to 3 millions unemployed at unskilled labor.

As part of agriculture Roosevelt created the Agriculture Adjustent Administration, which is also there to curb overproduction; what the government is doing is encouraging farmers to give up some of their land by giving them subsidies for land they will not farm. AAA is successful in reducing production and raising prices, but only benefits the large farmers who own their land and still have enough money to buy the machinery and fertilizers needed to produce on less land more profitably; on the other hand, this policy further ruins small farmers, smallholders and sharecroppers. This decision accelerates the transformation of U.S. agriculture into an agribusiness in the hands of the most efficient.

President Franklin D. Roosevelt signs the TVA Act.

The Tennessee Valley Authority (TVA) was another significant program implemented as part of the New Deal during the presidency of Franklin D. Roosevelt. The program aimed to stimulate economic development in the Tennessee Valley region, which had been particularly affected by the Great Depression. The TVA implemented large-scale infrastructure projects, such as the construction of dams and power plants, in order to provide electricity, control flooding, and improve navigation in the region. The program was intended to create jobs, promote industrialization, and improve the overall standard of living in the region.

The Civilian Conservation Corps (CCC) program was a federal program established during the presidency of Franklin D. Roosevelt as part of the New Deal. The program aimed to combat unemployment and poverty by providing young men from poor urban families with jobs in conservation and development projects. Participants in the CCC program were sent to work on projects such as building roads, trails, and other infrastructure in national parks and forests, as well as developing recreational facilities. They received a small allowance for their work, which they could use to support their families. The CCC program was widely regarded as a success and helped to improve the living conditions of many young people during the Great Depression.

The Federal Emergency Relief Administration (FERA) is another program established by Roosevelt to provide emergency aid to the unemployed and the poor. It was created in 1933 and was later replaced by the Works Progress Administration (WPA) in 1935. The WPA was a large-scale public works program that provided jobs to millions of unemployed Americans during the Great Depression. It funded the construction of roads, bridges, schools, and public buildings, as well as the creation of jobs in the arts, such as theater and music. It was one of the most successful New Deal programs and is credited with helping to reduce unemployment and stimulate economic growth.

The WPA, or Works Progress Administration, was an ambitious New Deal program established by President Franklin D. Roosevelt in 1935 to combat unemployment during the Great Depression. With a budget of $5 billion, the program provided federal jobs and wages for the unemployed, including artists, writers, and other creative professionals. The WPA also oversaw the construction of infrastructure projects such as roads, bridges, public buildings, and parks, which helped to improve the country's physical infrastructure and provide much-needed jobs. Additionally, the WPA supported the arts and cultural programs, preserving American culture and providing opportunities for artists during the Great Depression. The WPA had a program to support photographers who traveled to rural areas and Hoovervilles to document a significant portion of the population, providing them with an exceptional photography training. The WPA was widely popular and successful in reducing unemployment, however, it was gradually phased out in the 1940s as the economy improved and the country entered World War II. It is interesting to note that this program was similar to the programs implemented in Mexico before the Great Depression.

Intensification of reforms in 1935 - 1936

These programs implemented in the years 1933 to 1935, such as the National Recovery Administration (NRA), the Tennessee Valley Authority (TVA), the Civilian Conservation Corps (CCC), and the Works Progress Administration (WPA), were heavily influenced by similar programs that had been implemented in Mexico prior to their implementation in the United States. Despite their initial successes in reducing unemployment and improving the economy, these programs still failed to address the needs of the most marginalized and disadvantaged segments of society. As a result, in 1935 and 1936, there was an intensification of reforms aimed at addressing these issues and providing more comprehensive aid to those most in need. Despite these efforts, unemployment remained high, with an estimated 30% of the population still out of work.

President Franklin D. Roosevelt signs the National Labor Relations Act on July 5, 1935. Secretary of Labor Frances Perkins (right) looks on.

As a result, in 1935 and 1936, Franklin D. Roosevelt intensifies his reform efforts and introduces new programs, such as the National Youth Administration and the Works Progress Administration (WPA) to address the ongoing issue of unemployment. These programs were designed to provide federal salaries and work opportunities for the unemployed, including artists, writers, and photographers. The WPA, in particular, was responsible for creating jobs and infrastructure projects such as roads, bridges, public buildings, and parks. The WPA also supported the arts and cultural programs, including theater, music, and visual arts, which helped to preserve American culture and provide opportunities for artists during the Great Depression. Despite the efforts of these programs, unemployment remained high, with an estimated 30% of the population unemployed. This was partly due to the fact that these programs primarily benefited the well-organized social partners, such as large corporations, large farmers, and unionized workers, leaving out the most deprived sections of society. This dissatisfaction with the inequalities of American society led to some politicians leaving the Democratic Party and protesting against the government's policies.

In an effort to address the ongoing issue of high unemployment and to gain support for his re-election campaign, President Franklin D. Roosevelt intensified his New Deal program with new reforms in 1935-1936. These reforms aimed to provide greater assistance to marginalized groups and address the inequalities in American society. However, despite these efforts, the programs implemented in the years 1933-1935 primarily benefited well-organized social partners, such as large corporations, large farmers, and unionized workers, leaving many of the most disadvantaged in society still struggling. This led to growing discontent among politicians and citizens, with some leaving the Democratic Party in protest. Despite these challenges, Roosevelt continued to push forward with his reform agenda, determined to make a positive impact on the lives of all Americans.

This is when Social Security was created, the most spectacular piece of the New Deal, since until then the United States had no program to help the poor, the three-part Social Security:

• pension program funded by employers and employees.
• Unemployment assistance program.
• federal assistance program for state programs for the blind, disabled, elderly and children in need.

This Social Security is not without problems, the aid given is very small, those who would need it the most, i.e. small farmers, sharecroppers, domestic servants are excluded because they do not really have a contract with their employer which does not allow them to enter the system and the trade unions.

In 1935, another major step in state intervention in US industry took place when Congress banned "in-house" unions promoting industry-wide collective bargaining between unions and employers under the National Labor Act.

Roosevelt's second presidency: 1936 - 1940

Election poster in Manchester, NH.

Roosevelt with his wife campaigns; Roosevelt is triumphantly elected over his Republican opponent who accuses him of betraying the founding fathers and preparing socialism in the United States.

This is really the great turning point in the bipartisan system of the United States, it's the "great turning point in the bipartisan system of the United States New Deal Coalition" i.e., the coalition of all those who hope to benefit or have benefited from the New Deal: traditional white Southern Democrats, large industrial cities, workers of all races, immigrants, union members and also impoverished farmers; all will vote for Roosevelt who wins the election in all states except Maine and Vermont.

He was still elected in 1940 and 1944; following that, the Republicans in 1951 passed a constitutional law prohibiting more than two presidential terms.

Poster of the Resettlement Administration, by Bernarda Bryson Shahn.

During his second presidency Roosevelt still has a Democratic-dominated congress and will continue his state aid program by founding the Farm Security Administration to help small farmers with loans, but he puts very little money into this program and only 2% of small farmers benefit; in the South, 200 tenant farmers, white and black, have become homeless.

Ce programme va aider les petits paysans, mais aussi va servir à promouvoir et à donner du travail dans les grandes plantations.

In 1928 the Fair Labor Standard Act set minimum wages and limits on working hours. It is a law that was originally intended to protect non-unionized workers, but again it will benefit unionized workers, but will only affect workers in large, important industries.

History of the federal minimum wage in real and nominal dollars.

Social assessment of the New Deal

The New Deal allows a rise in workers' trade unionism and its alignment with the Democratic Party, which really becomes the party of the working class.

In 1929 there was only one union in the United States, the conservative American Federation of Labor, which took only skilled workers and often excluded blacks.

In 1935, the foundation of the Committee on Industrial Organization (CIO) increased trade unionism; in 1929 there were 3 million union members, in 1939 there were almost 10 million, but unionized workers made up only 28% of all workers.

The New Deal's social programs also helped men more than women; among the unemployed, fewer women received federal assistance than men. Among the unemployed, 37 per cent are women, but only 19 per cent of those receiving assistance are women.

Secretary of Labor Perkins on the cover of Time (August 14, 1933).

Yet thanks in part to Eleanor Roosevelt, women became more active in politics and mobilized much more, even though they have only been able to vote since 1920. Frances Perkins was the first woman secretary of the Department of Labor.

However, the New Deal did not do much for racial minorities. Even though Roosevelt had African-Americans in his entourage, he did not really take an anti-racist stance unlike his wife.

Since many blacks are domestic servants, janitors, or workers excluded from unions, they benefit only marginally from workers' programs; in the South, the restructuring of agriculture with the AAA is driving many tenant farmers and peasants off their land.

Mexicans and Americans of Mexican origin suffer greatly from the Great Depression, since half of them, or more than a million, have to return to Mexico willingly or by force.

In 1934 it was the Indian Reorganization Act which stops the dismemberment of Indian communal lands and recognizes land ownership and tribal self-government.

The final balance sheet of the New Deal is a mixed one, it has reduced unemployment, but has not brought it out of unemployment; we see that in 1939 there are still 9 million unemployed, or 18 per cent of the labour force in the United States.

However, it has launched a whole series of national and federal programmes that will change the political and social life of the United States and it is completely reforming the political life of the United States.

From the economic and unemployment standpoint, it must be recognized that it will be the Second World War that will lead the United States out of the crisis.

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  USA annual real GDP from 1910 to 1960, with the years of the Great Depression (1929–1939) highlighted.

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  Unemployment rate in the US 1910–1960, with the years of the Great Depression (1929–1939) highlighted; accurate data begins in 1939.

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  Évolution du PIB de quelques pays entre 1929 et 1939.

Annexes

• 1929-1939 : Une décennie de misère (La Grande Dépression au Canada)
• Textes sur la Grande crise des années 1930 Cliotexte.
• Souvenirs et réflexions sur l'âge de l'inflation de Jacques Rueff, économiste et ancien fonctionnaire du Trésor Français.
• Le Crach de 1929 et la grande Dépression - Comment éviter une répétition de la débâcle Keynésienne
• 1932 popular vote by counties
• How close was the 1932 election? — Michael Sheppard, Massachusetts Institute of Technology
• Foreign Affairs,. (2015). The Great Depression. Retrieved 29 October 2015, from https://www.foreignaffairs.com/articles/united-states/1932-07-01/great-depression