During the 1930's, America witnessed a breakdown in the economy as the U.S fell into the worst depression in history. The economic depression that overwhelmed the United States and other countries was in its problems and . At the depth of the depression, in 1933, one American worker in every four was out of a job. The great industrial problems continued throughout the 1930's, shaking the foundations of Western capitalism.
The New Deal describes the program of U.S president Franklin D. Roosevelt
from 1933 to 1939 of relief, recovery, and reform. These new policies aimed to
solve the economic problems created by the depression of the 1930's. When Roosevelt was nominated, he said, "I pledge you, I pledge myself, to a new deal for the American people." The New Deal included federal action of unprecedented scope to stimulate industrial recovery, assist victims of the Depression, guarantee minimum living standards, and prevent future economic crises.
Many economic, political, and social factors lead up to the New Deal. The statistics were bad, like a 25% unemployment rate, and the fact that 20% of NYC school children were under weight and malnourished, made it clear immediate action was necessary. In the first two years, the New Deal was concerned mainly with relief, setting up shelters and soup kitchens to feed the millions of unemployed. However as time progressed, the focus shifted towards recovery. In order to accomplish this monumental task, several agencies were created. The National Recovery Administration was the ladder of the early new deal program launched by Roosevelt. It was created in June 1933 under the terms of the National Industrial Recovery Act. The NRA permitted businesses to draft "codes of fair competition," with presidential approval, that regulated prices, wages, working conditions, and credit terms. Businesses that complied with the codes...