FDR NEW DEAL
...ong run, it set priority for the federal government to play a leading role in the economic and social affairs of the nation. Compare to Hoover, Roosevelt is a success. Hoover believed that the depression was caused by the economy, and he thought that the problems were beyond his control. Unfortunately, his believe was wrong, and his efforts were not effective enough. His policy towards the depression results in a disapproval from the American public. Because of FDR own experience of the wide gap between the wealthy and the poor, FDR is ready for a big change. The fist day of Roosevelt’s administration saw the passage of banking reform laws, emergency relief programs, work relief programs, and agriculture programs. The three most important policy of New deal is economic recovery. The first thing to considerate is the shaky banking system. He shut down all of the banks in the nation and forced Congress to pass the Emergency Banking Act which gave the government the opportunity to inspect the health of all bank. Three days later, Roosevelt sent to Congress the Emergency Banking Act. Congress passed the bill within four hours of its introduction. Three quarter of the banks in the Federal Reserve System reopened within the next three days, thus deposits had exceeded withdrawals, and stabilizing the banking system. He also produced a federal program to protect U.S. farmers from the uncertainties of the depression through subsidies and production controls. This is the Agriculture Adjustment Act(AAA). The AAA implemented a provision for crop reductions known as the "domestic allotment" system of the act. Under this system producers of rice or wheat would decide on production limits for their crops. The AAA would then pay them subsidies for leaving some of their land idle with funds provided by a new tax on food processing. The gross farm incomes increased significantly in the first three years of the New Deal. This proved the success of the AAA. The National Labor Relations Act allowed only unevenly in the past, such as closed shops in which only union members can work and collective bargain. It strengthened the protection o...