When people hear the term “The Great Depression” they automatically think about bad things that happened in America, but little do they know it was far worse.
The Great Depression was an economic downfall that started in the late 1920s. One can learn from the event during The Great Depression that government involvement was the deciding factor of whether the economy will expand or continue to shrink during a recession. Franklin Roosevelt and Herbert Hoover were presidents throughout the recession. They took action in different ways to uplift the U.
S economy. But people viewed one president’s ideas to be more effective than the other. In this case, Franklin Roosevelt dealt with The Great Depression more effectively than Herbert Hoover due to better economic ideas.
During The Great Depression, the economic status of the United States was at its downfall after the stock market crash or known as “Black Tuesday.” In Document 2, The New York Times published the stock market crash. The stock collapse by 16,410,030 in one share day.
Many people became unemployed. Banks failed and people couldn’t get their money from their savings. Families were separated and had to live in small town homes that fulfilled their low income. In Document 3, it shows the unemployment rate based on The Great Depression. In 1925 through 1929 the unemployment remained constant at 2,000,000 people, but in 1929 through 1933 it increased at its highest peak of 12,500,000. The Great Depression led to many downfalls in America.
When Herbert Hoover was president during time, he was targeted by the people about the tragic incident.Hoover’s strategies failed to deal with The Great Depression. Hoover’s responses to the Depression was not strong enough. In Document 8, it explains how Hoover held a laissez-faire belief that the economy would eventually right itself. This “hands off” approach failed to address the dramatic loss of confidence throughout the economy to the point where the “neighbors would help one another and not rely on government aid” (Doc 8.) In Document 5, Herbert Hoover used the Trickle Down Theory. He believed that since the government legislations were helping big corporate companies, the investments made will expand the economy and create a better life for workers and consumers. This failed due to Black Tuesday; the stocks crashed and people couldn’t invest in those “big corporate companies.
” To follow up, in Document 9, Hoover still couldn’t decrease the unemployment rate, it continued to get worse and worse. Unlike Hoover, Franklin Roosevelt uplifted people from the Great Depression.Franklin D. Roosevelt strategies were affected during the time.
He was able to sustain the nation through the crisis as well as WWII. Fortunately, FDR becoming involved in WWII was a plus because it allowed America’s production to increase as well as the economy. Franklin Roosevelt helped people regain faith in themselves. Despite all the chaos going on at the time, he still manage to benefit others who were unemployed.
His optimism was very important. In Document 5, FDR states how he wants to increase government programs to increase business activity, which allows investments and economic growth. This chain of positive effects helped begin a different outlook on society.
This was a new beginning in time for Americans known as the New Deal. In Document 7, The New Deal allowed a new set of instructions for issues that were faced during the Great Depression. The New Deal was so important at the time that in Document 10, the government stills uses the programs today. FDR’s New Deal allowed the expansion of the economy and the better opportunities to the unemployed.
It can be concluded that Franklin D. Roosevelt was a more effective president than Herbert Hoover. He dealt with The Great Depression and its economic downfall. Hoover did not have a clear mindset on whether or not to have the government involved with the people.
FDR had a path to success. With the government involved, he allowed new ideas that began the growth of the country. Franklin D. Roosevelt’s presidential term during The Great Depression enhanced the new and improved economy today.