The New Deal for AP World History

Feb 1

2 min read

The New Deal is an illustrative example of the Economy of the Interwar Period topic in Unit 7 of AP World History. You could reference this example on your AP World History test.

The New Deal, a series of sweeping economic and social reforms enacted by President Franklin D. Roosevelt (FDR) in response to the Great Depression, remains one of the most consequential chapters in American history. Initiated during the depths of the economic downturn in the 1930s, the New Deal aimed to provide relief, recovery, and reform to a nation reeling from unemployment, poverty, and financial instability. This textbook entry explores the origins, key initiatives, and lasting impact of the New Deal on American society and the role of government in shaping economic policy.

Overview of the New Deal

The New Deal encompassed a wide range of programs and initiatives aimed at addressing the multifaceted challenges of the Great Depression. From the outset, FDR’s administration pursued bold and innovative policies designed to stabilize the economy, create jobs, and restore public confidence. Among the most notable initiatives were the creation of the Civilian Conservation Corps (CCC) to provide employment opportunities for young men, the establishment of the Works Progress Administration (WPA) to fund public works projects, and the enactment of the Social Security Act to provide a safety net for the elderly and vulnerable.

Key Initiatives and Programs

One of the central pillars of the New Deal was its emphasis on government intervention in the economy to stimulate recovery and alleviate hardship. Through a combination of direct relief programs, job creation initiatives, and financial reforms, the New Deal sought to revive economic growth and restore faith in the American system. The Tennessee Valley Authority (TVA) exemplified the New Deal’s approach to economic development, harnessing federal resources to modernize infrastructure and promote regional prosperity. Additionally, the New Deal introduced landmark financial regulations such as the Glass-Steagall Act, which separated commercial and investment banking to prevent future financial crises.

Although the New Deal faced criticism from some quarters for its unprecedented expansion of government power, its legacy remains enduring. The New Deal fundamentally transformed the relationship between the federal government and the American people, ushering in an era of increased government intervention in the economy and the establishment of social safety nets that endure to this day. Moreover, the New Deal laid the groundwork for future reforms and initiatives, shaping the trajectory of American politics and policy well into the 20th century and beyond.