Topic > The Causes of the New Deal - 848

The Great Depression was a tremendous disaster for Americans, and indeed for the entire world, in the 1920s. This type of disaster was caused by America's rising debt, wealth distribution, America's overproduction and underconsumption, problems for farmers and industry, and the “bubble economy” in the stock market. Due to the terrible economic situation, millions of people lost their jobs and thousands of banks went bankrupt. The American economic market has reached unprecedented dimensions. President Hoover thought of many solvents but they did not work well for the United States. Economy. Hoover lost faith in America. Americans were looking for new leadership and a president who could save the country from the Great Depression by the 1932 elections. Then Franklin Delano Roosevelt beat Hoover with his “new deal” idea. It helped the United States overcome difficulties and recover the US economic market. When FDR was about to be elected, he said, "I promise you, I pledge myself, to reach a new deal for the American people." The main idea of ​​the New Deal focused on what historians call the “3 Rs”: relief, recovery, and reform. This is the relief for the unemployed and the poor; Resumption of the economy at normal levels; and reform of the financial system to prevent the depression from recurring. The “New Deal” had been divided into three parts in the first 100 days. A number of wealthy, conservatives, and numerous businessmen vigorously opposed the New Deal. They thought that the “New Deal” obeyed their national condition and that the economy of a capitalist country should not suffer from government intervention, otherwise it would be a socialism. They were dismayed by his tolerance of budget deficits and his removal of the nation from the gold standard, and they were disgusted by pro-labor legislation. However, the most important left-wing threat to Roosevelt was a senator from Louisiana, Huey P. Long, who supported the New Deal for doing nothing.