The Impact of the Great Depression, Essay Example

The Great Depression of the late 1920s and 1930s has had numerous impacts on the America we live in today and will continue to have an impact. The Great Depression resulted in a migration of unemployed workers throughout the United States, a restructuring of our banking system, and the creation of government run welfare programs. 

Following the stock market crash and failing of banks nationwide, The Federal Reserve, a government created committee, centralized new regulation for the banking industry. Perhaps the greatest change was the complete abandonment of a monetary system backed directly by gold. Other changes included requiring banks to provide insurance for customers against losses from their accounts due to bank mismanagement. 

When Franklin Delano Roosevelt took over in 1932, he went to work on the recovery of the American economy. His economic recovery plan was called the New Deal and aimed to boost the economy by aiding agricultural industry, supporting labor unions, stimulate demand, and provide jobs. (Wikipedia) One of his programs was the National Recovery Administration, or NRA. Though the NRA was disbanded in 1939, many of its actions are still present today. For example, the capping of maximum prices in certain industries and the setting of a minimum wage were actions taken by the NRA. Two other mainstays from Roosevelt’s New Deal include social security and welfare programs. Today, these programs are both subjects of controversy. While many feel the programs are a drain on government funds, others could not imagine living without them. 

Works Cited

Great Depression in the United States. 19 March 2010. 19 March 2010 <http://en.wikipedia.org/wiki/Great_Depression_in_the_United_States>.