American History

During the earlier twenties, industrialized America was generally doing well economically. Industrial production was optimum, businesses, educational institutions and banks were also doing very well. It was Americas time of optimism and prosperity. However United States of America was thrown into despair on October 1929, the day when the stock market crashed and marked the official beginning of the great depression.

The stock market crash of 1929 had great impact on Arkansas, it eroded investors confidence, businesses and consumers lost their morale and drastically reduced their spending, and many Americans were filled with fear and rushed to the banks to claim their deposits. These bank runs accelerated bank closures across the country. People stopped buying because most their money was stuck in the failed banks this led to goods in the industries to stop moving, forcing manufacturers to cut down their production. Businesses and organizations closed down due to tack of finances because Banks which closed down held their huge deposits. Educational institutions were also devastated by lack of funds to operate and some like Arkansas College (Lyon College) closed down. Cotton which was Arkansas major cash crop, prices dropped. Arkansas people lost their mortgages and many of them become homeless and jobless, this triggered them to be violent because of the many hardships they were facing.

When Franklin Roosevelt was re-elected in 1937, he facilitated several programs in response to the great depression, to strategize on how to reinstate the countrys economy to normal and solve the many problems Americans were facing as well as reforming the countries financial systems to prevent a repeat of depression. These social programs created by Roosevelt had great effect and overall benefit to the state in various ways the works progress administration was created and it created job opportunities for many Americans. The reconstruction finance corporation gave large loans to big businesses which had no finances to operate putting them back in business operation. The Tennessee valley authority program modernized very poor regions by facilitating the construction of dams that generated electricity Agricultural adjustment act, boosted agriculture by raising farm products prices and cutting down total farm output for major crops and livestock. Federal deposit insurance cooperation insured deposits in banks hence restoring public confidence in banks.

Although some historians urge that these programs were only beneficial to men, this is not true .These social programs created by Roosevelt administration had an overall benefit to all Americans, he revived the economy, millions of people were employed, industries and businesses were put back on track, among other benefits. Roosevelt restored hope and self-respect to million of desperate Americans regardless of their social class and gender.