The Great Depression and the New Deal
The great depression left the worker with no mean of subsistence, Help from family, friends or community institutions were not adequate., and The government didn’t have any structure on place to provide proper assistant. all factor into that A creation of a tax payroll system provide government assistant through diverse welfare program..
“The Great Depression, witch began in 1929, hit American hard. By 1933, more than a quarter of the population was looking for works. Farms, foreclosed upon by banks, were shutting down by the thousands”. (Trowbridge, 2016, p. 1.24) The U.S. Congress enacted the Social Security Act, originally called the “Economic Security Bill,” in August of 1935. The Act was aimed at giving older Americans a pension that would provide them with a reasonable standard of living as they aged. The Social Security Act was politically moderate. The agency created to administer these benefits was to be funded by both employees and their employers, as opposed to using funds collected from general tax money. (Landon, 1936) AN ACT to provide for the general welfare by establishing a system of Federal old-age benefits, and by enabling the several States to make more adequate provision for aged persons, blind persons, dependent and crippled children, maternal and child welfare, public health, and the administration of their unemployment compensation laws; to establish a Social Security Board; to raise revenue; and for other purposes. (Social Security Act, 1935)
The great depression has essentially destroyed the United States economy without any doubt, Poverty was at almost all time high, Unemployment was too high. The major effect of the Great Depression on America was expanded government intervention into new areas of social and economic affairs and the creation of more social assistance agencies at the national level. The relationship between the national government and the people changed drastically. The government took on a greater role in the everyday social and economic lives of the people. (Trowbridge, 2016) During the world war II production in factories was sky high and American workers changed the world forever, United States role in World War II as a leader surprised many around the world. Wartime production created more jobs with greater change in sex composition in work force from men to women. Thus civilians supported war efforts by volunteering for Red cross and other agencies. Took jobs in factories created welfare associations, entered military services with high enrollment into schools and colleges to improve situations post war. This helped in improving the after effects of world war II and brought end to the Great Depression. After the end of great depression began an era of great growth which of course decreased poverty. (Trowbridge, 2016)
The war had brought major social changes to the home front. As millions of men (and many women) entered the military, over six million new women workers had poured into the war plants at home. The boom of the economy through the war decrease the unemployment and increase the worker wage. The government will test the Social Security Act by implements new benefits. (Trowbridge, 2016)
In his speech about the Social Security Act the president Franklin Delano Roosevelt state that:” This social security measure gives at least some protection to 50 millions of our citizens who will reap direct benefits through unemployment compensation, through old-age pensions, and through increased services for the protection of children and the prevention of ill health.” (Roosevelt, 1935) And also he recognizes that it is a beginning of an historical event, acknowledging in advance that the plan may not provide 100 percent satisfaction to the people need but will at least ease the mind of the worker knowing that they are some types of law in place to assist them hardship time. “This law, too, represents a cornerstone in a structure which is being built but is by no means complete. It is a structure intended to lessen the force of possible future depressions” (Roosevelt)
Most of the government law or regulation come from a crisis situation. The great depression enables the government to put a structure in place to provide assistant to the population: the birth of the Social Security Act. “The Social Security Act has formed the basis of the United States welfare system since its enactment in 1935. It establishes the social insurance programs of social security programs and unemployment compensation.” (Rose, 1989, p. 63) “The Social Security Act of 1935, which represented the beginning of the welfare state in the United States, was a conservative measure that tied social insurance benefits to labor force participation and left administration of its public assistance programs to the states” (Quadagno, 1984, p. 632)
In the past crisis the worker can related to a family member, a church or a friend for help. The great depression effect show inefficiencies of the old method and way of life. Referring to the president Roosevelt speech “today, a hope of many years’ standing is in large part fulfilled. The civilization of the past hundred years, with its startling industrial changes, had tended more and more to make life insecure. Young people have come to wonder what will be there lot when they came to old age. The man with a job has wondered how long the job would last.” (Roosevelt, 1935) He highlights the suffering of the population and many of their questions without an answer.