Although it wasn't intended to, the New Deal did slightly modify American business, but in a way that preserved and safeguarded United States business affairs. Roosevelt's "New Deal" reopened banks and gave jobs to the unemployed.Not only that, but it also paved the way for nearly two decades of Roosevelt as president.
After the Stock Market crashed due to overproduction by farmers and buying on margin, Roosevelt came up with ways to prevent another similar disaster.His "Alphabet Soup Agencies" had many different purposes, but they all were intended to bring the United States out of the Great Depression. To provide relief for the unemployed, Roosevelt introduced the Federal Emergency Recovery Administration (FERA).The FERA spent federal funds to prevent people from starving until other forms of recovery relief took hold. Over the program's two-year existence, the FERA spent over $1 billion.
In order to protect against agricultural overproduction, Roosevelt introduced the Agricultural Adjustment Act (AAA).This program established a system to provide cash subsidies to farmers who cut their production of the seven major commodities: wheat, cotton, corn hogs, rice, tobacco, and dairy products.This policy continues today.Although the AAA balanced the economy, the benefits it created were distributed unevenly.Subsidies were given mainly to the owners of large- and medium-size farms whom frequently cut production by reducing the acreage of their tenants and renters instead of their own.
After so many banks had closed, Roosevelt introduced the Emergency Banking Act, which, in turn, created the Federal Deposit Insurance Corporation. The FDIC protected people's deposits of up to $2,500.Another act also created the Civilian Conservation Corps, which sent 250,000 young men to do conservation and reforestation work.
All in all, Roosevelt's brainchildren had a profound