Success of the New Deal

The Great Depression of the 1930s took the world by storm, especially in the United States, where people panicked over the sudden collapse of Wall Street, revealing the perceived success of the New Deal.

Introduction: Success of the New Deal

The Great Depression of the 1930s took the world by storm, especially in the United States, where people panicked over the sudden collapse of Wall Street, revealing the perceived success of the New Deal. The phenomena of overproduction and low consumption spread like wildfire. The Great Depression started with the market crash in the summer of 1929 and extended to other aspects of the economy. Investors fled Wall Street, leading to bankruptcies within a day, forcing foreclosures and repossessions. This resulted in more than 4 million people becoming jobless in the United States alone, and adherence to the gold standard for currency exchange further exacerbated the crisis in Europe.

Incumbent President Herbert Hoover attempted to boost public confidence with assurances, but all efforts ended in smoke. Industries came to a halt, and farmers found themselves amidst falling prices and rotting crops in the fields. Despite having money, people had nothing to eat. Banks were forced to liquidate loans to supplement the cash that people were withdrawing en masse (Berten 2001). The administration in Washington tried to support the banks, but this strategy also failed.

The three addresses of Roosevelt show that he tried to address the banking system first to win public confidence. The documentary “The River” demonstrates that 20 years of cultivation made the land infertile in the valley, leading to widespread loss of fertile land. Additionally, “In Dubious Battle” by Steinbeck shows some support for the strategies adopted by the Roosevelt administration in Washington, pointing to the desperate struggle waged against the Great Depression. John Steinbeck does not clearly support the strikers despite low wages and the repressive tactics of the growers.

These documents show that the New Deal, comprising relief, recovery, and reform, won support not only from John Steinbeck but also from Pare Lorenz, indicating that the steps taken by the administration were shown to have succeeded to some extent.

First Step of Success of the New Deal

The first step taken by the administration was relief, designed for the jobless and the poor who suffered the most during the Great Depression. This was because they lacked money and had no jobs to support their families. President Roosevelt highlighted this need in his second address on May 7, 1937, stating, “Our next step in seeking immediate relief is a grant of half a billion dollars to help the states, counties, and municipalities in their duty to care for those who need direct and immediate relief,” emphasizing his strategy of providing relief (Roosevelt).

This initiative led to the introduction of the legislation known as “The Farm Relief Bill.” According to the president, “measures will … be proposed which will attempt to give to the industrial workers of the country a fair wage system,” aimed at providing a fair system for the poor and needy to earn a livelihood. In “The River,” Pare Lorenzo described the situation of the poor as “Aimless, footloose, and impoverished, / Unable to eat even from the land because their cash crop is their only livelihood,” which lost its value due to a sudden downturn in prices (Lorenz).

Although John Steinbeck did not explicitly state in the novel that he supported the New Deal, some of his words and descriptions suggest his opposition to the actions of the apple pickers. Critic Michael Szalay, in his book “New Deal Modernism: American Literature and the Invention of the Welfare State,” asserts that “Steinbeck was every bit the government man, meeting twice with Roosevelt in the thirties” (71). Szalay also notes that Steinbeck and Pare Lorenz, a cultural official of the New Deal, used to meet, indicating their shared support for relief efforts. Therefore, both of them were likely to support relief, even if not completely endorsing upheaval. When Jim asks about wages, Mac tells him, “Raising wages isn’t all we’re after” (65), and their eventual defeat suggests that Steinbeck does not endorse this upheaval. Therefore, it is evident that he is inclined to support relief for the poor, even if it falls short of complete upheaval.

Recovery, and Success of the New Deal

Regarding recovery, after Herbert Hoover’s departure, Roosevelt initiated the establishment of the National Recovery Administration (NRA). This move aimed to increase government spending and provide relief to the public by ending deflation and suspending the gold standard to eliminate “cut-throat competition” (Roosevelt). In his third address on July 24, 1933, President Roosevelt outlined the “fundamentals of this planning for national recovery,” elaborating on the Industrial Recovery Act. He emphasized that “reasonable wages — and require the same hours — reasonable hours” were at the heart of this act, intended to revive the industry after a four-year downturn (Roosevelt).

Lorenz expressed similar support for this aspect of recovery in the New Deal. He explicitly stated that the Farm Security Administration had come to the rescue of the agricultural community, emphasizing that “you cannot plan for water and land unless you plan for people.” Lorenz further noted that the FSA had “lent thousands of dollars to farmers / in the Valley” who were affected by the depression and had lost everything (Lorenz). This demonstrates his clear endorsement of the New Deal’s efforts.

Even John Steinbeck, as Michael Szalay pointed out, stated in a letter, “I don’t like communists,” after the publication of the novel “In Dubious Battle” (71). This suggests that Steinbeck supported the New Deal, including its recovery aspects and assistance for landowners. This support is evident in the novel, where Anderson is compelled to evict the strikers to avoid facing consequences. This implies that the recovery part of the New Deal was successful.

It is possible that the strike at farms served as a means of cutting production, allowing farmers to pursue recovery through increased prices. This strategy could ultimately contribute to raising the standard of living.

Reforms, and Success of the New Deal

The third aspect of the New Deal involved reforms in various sectors, encompassing banking, industry, and agriculture. In his first address on March 12, 1933, President Roosevelt acknowledged that “some of our bankers had shown themselves either incompetent or dishonest,” prompting the legal authorization to “develop a program of rehabilitation of our banking facilities.” In his second address, he emphasized the need for reforms across all sectors, including agriculture and industry. This reform agenda also extended to the employment market, leading to the launch of the Civilian Conservation Corps program. The Farm Relief Bill and Railroad Bill aimed at achieving similar goals, involving “a general reduction of armaments,” cutting trade barriers, stabilizing currency, and establishing good relations (Roosevelt).

The implementation of these reforms is evident in “The River,” where Lorenz describes the construction of a great dam as a “barrier to hold water” during flood times and to provide water when needed. This illustrates the practical application of reforms in the agricultural sector, with additional barriers constructed on the river (Lorenz).

While it is not explicitly mentioned in “In Dubious Battle,” the final scene, where the sheriff arrives to disperse the mob at the orchard, reinforces Steinbeck’s support for the reforming authority. When the sheriff addresses the crowd, stating, “If there’s anyone in authority I want to see him,” and no one comes forward, Steinbeck appears to distance himself from supporting the mob and the strikers. Instead, he advocates for peaceful strikes and urges avoiding making a mess of things (Steinbeck 258). This suggests that Steinbeck supports the idea of reform through established authorities, such as the sheriff and the administration.

Conclusion: Success of the New Deal

In short, all three documents strongly support the New Deal actions and legislative acts that facilitated the recovery of economic sectors. The measures undertaken included relief, recovery, and reform acts, which in turn led to various other measures, acts, and legal actions. President Roosevelt’s addresses make it evident that he initially prioritized relief, followed by the recovery and reforms of the banking sector, involving government intervention. Subsequently, attention was directed towards transportation, agriculture, and railways.

Government intervention was not confined to relief and recovery operations but extended to direct involvement through various legal acts legislated by Congress and enforced by the administration. The president emphasized in his first address the enforcement of regulations to allow banks to “continue their functions to take care of the distribution of food,” highlighting the correction of the banking sector as a primary focus of the New Deal. Relief work is emphasized in the second and third addresses, where the president called for raising a quarter of a million to engage in forestry and flood prevention work. This is also evident in “The River,” where dams and barriers were constructed on the river. The New Deal persisted until 1934, at which point the economy showed signs of recovery. This marked the conclusion of that era, after which the administration introduced the second New Deal to further stimulate growth. Consequently, these documents illustrate the success of the New Deal in implementing relief, recovery, and reform programs, laws, and regulations.

Works Cited: Success of the New Deal
  1. Berten, Pierre. The Great Depression: 1929-1939. Doubleday Canada, Limited. 2001. Print.
  2. Lorentz, Pare. “The River 1937.”YouTube. YouTube, LLC. 20 July 2008. Web. 26 March 20123.
  3. Michael Szalay. New Deal Modernism: American Literature and the Invention of the Welfare State. Duke University Press. 2000. Print. 71-151.
  4. Roosevelt, Franklin D. “On the Bank Crisis.” Fireside Chat by Franklin D. Roosevelt. n. d. Web. 25 March 2023.
  5. ————————–. “Outlining the New Deal Program.” Fireside Chat by Franklin D. Roosevelt. n. d. Web. 25 March 2023.
  6. ————————–. ” On the Purposes and Foundations of the Recovery Program.” Fireside Chat by Franklin D. Roosevelt. n. d. Web. 25 March 2023.
  7. Steinbeck, John. In Dubious Battle. Penguin Classics. New York. 2001. Print.

Relevant Questions About Success of the New Deal

  1. To what extent did the successes of the New Deal effectively address the economic challenges of the Great Depression?
  2. How did the successes of the New Deal contribute to long-term structural changes in the U.S. economy?
  3. What criticisms and controversies surround the successes of the New Deal’s effectiveness, and how do historians evaluate its success in hindsight?

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