When Franklin D. Roosevelt became the president of the United States in 1933, the nation’s economy was in a state of turmoil. Industrial production slowed to about half its level prior to the depression, agricultural and other prices of goods fell to half of their previous value, and unemployment jumped to 25 percent.In March 1933 Roosevelt outlined a set of steps designed to stop deflation of prices and stocks and foreclosures (when the bank repossess property) and to put millions of people to work through government programs. Thefirst was emergency policies and programs tried to stabilize the national economy. The second, begun in the mid-1930s, which was a set of broader social well being steps designed to fight the poverty rate and provide safety to the economy.
One of thefirst New Deal steps to take place was the National Industrial Recovery Act, which started the National Recovery Administration (NRA). The law enabled businesses to work together to fix prices and stocks while protecting workers by setting minimum wages and allowing collective bargaining. Two other early programs, the Civilian Conservation Corps and the Public Works Administration, employed many people while helping to improve the nation’s economy. With the huge support of the American people, Roosevelt created the second part of the New Deal, which would build thefirst phase of the modern welfare system. The Works Progress Administration employed 8 million Americans between 1935 and 1942 in building roads, schools, airports, and other public facilities.