The Squandering of America

Robert Kuttner very briefly explains some of the high points of the New Deal and some of its economic reforms.

This was the era when Roosevelt took office on March 4, 1933, (after the stock market crash of '29.) He aimed to provide “Relief, Reform, and Recovery.”

This was a time when the Unemployment Rate was at 25%, farm prices had fallen 50%, and there was a very high rate of mortgages being foreclosed.

At this point, we went from laissez-faire to managed capitalism. The excesses of unregulated markets left us with a Great Depression. Regulation meant to prevent a repeat of the same excesses was enacted.

Opportunity (for the common person) became more broadly distributed through public investment in higher education. Confidence was restored in the banking sector and it became easier for people to obtain mortgages to buy homes. People were empowered to improve their lives through the G.I. Bill of Rights. (Education and other assistance for G.I.s)

After World War II, conquering communism was used as a justification for some social programs; such as education provided to keep a technological edge over the Soviet Union. A la Sputnick (launched October 4, 1957). Financial speculation was under control via regulation.

I've mentioned a few points not necessarily covered in Robert Kuttner's very brief history. He offers history in a nutshell. Read The Squandering of America, by Robert Kuttner.

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