The New Deal shaped our nation's politics for decades, and was seen by many as tantamount to the "American Way" itself. Now, in this superb compact history, Eric Rauchway offers an informed account of the New Deal and the Great Depression, illuminating its successes and failures.
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The New Deal shaped our nation's politics for decades, and was seen by many as tantamount to the "American Way" itself. Now, in this superb compact history, Eric Rauchway offers an informed account of the New Deal and the Great Depression, illuminating its successes and failures.
Read Less
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The Oxford University Press publishes a series called "Very Short Introductions" written by authorities in their fields. The series helps to introduce busy and curious readers to a wide variety of subjects. The series numbers nearly 200 volumes and includes subjects from history, philosophy, religion, science, and the humanities. This series constitutes an admirable way for any person to learn something about new matters and to expand his or her intellectual horizons.
Eric Rauchway's recent contribution to the series, "The Great Depression & the New Deal" (2008) offers, in 130 pages, a succinct, thoughtful overview of a pivotal and controversial period of American history. Rauchway is Professor of History at the University of California Davis. His books include ""Murdering McKinley: the Making of Theodore Roosevelt's America" and "Blessed Among Nations: How the World Made America." In his "Very Short Introduction" to the Depression and New Deal, Rauchway makes no pretense of offering a complete or a definitive account. Instead, he offers "some basic ideas for a first understanding of this profound crisis and America's still-influential legislative response." (p.2) Rauchway includes a good bibliography "on the principle that you will go on from here if you wish to fully appreciate the period." For the briefness of its approach, Rauchway's book offers good insight into the Depression and New Deal.
In his opening chapter, Rauchway traces the origins of the Great Depression to the world-wide collapse of the economic order following WW I, with the tensions between the creditor nation, the United States, and the debt-laden rest of the world. He discusses the uncontrolled expansion of credit in the United States and the speculation-driven rise of the stock market. On October 24, 1929, the stock market crashed and the Depression soon followed. Rauchway offers a good discussion on the relationship between the crash and the Depression.
Rauchway follows the onset of the Depression with a discussion of the steps the Hoover administration took in response. Rauchway points out, contrary to some opinion, that Hoover took measures, particularly late in his administration, designed to get the Federal government involved in combatting the Depression. Rauchway remains, however, highly critical of Hoover.
The bulk of this short book describes the pervasiveness of the Great Depression and the actions of both Roosevelt and Congress to both end the Depression and to try to correct structural deficiencies in the American economy to prevent such a catastrophe from happening again. Rauchway thus divides New Deal programs into those designed to end the Depression and those designed to prevent another. He also tries to assess those programs which succeeded and those which failed. For a short book, he considers the interplay of Roosevelt's New Deal with the activities of Congress, the Supreme Court, State and local governments, businesses, and ordinary people. Rauchway argues that as the New Deal progressed it moved to a system of strengthening outsiders to economic or political power as a means of combatting the Depression and as an alternative to statism.
Many people argue that the New Deal did not work to end the Depression. They point out that the economy exceeded its pre-1929 level only with the advent of war in 1940. Rauchway acknowledges the crucial role of United States entry into WW II in stimulating the economy. But he argues as well that the New Deal was successful. He points out that the economy improved markedly in every year between 1932 and 1940, with the exception of a short recession in 1937. He gives Roosevelt and his programs a great deal of credit for the economic revival and for making necessary changes which preserved the American way of life.
Rauchway concludes that the New Deal was a collection of many different programs and ideas some of which conflicted with each other. The New Deal did not effect a radical change in American life but rather proceeded in a haphazard, improvisatory manner. Rauchway concludes that "the openly experimental, obviously fallible, always compromised quality of the New Deal programs and their progeny reflected the imperfect democracy that gave them birth.... The New Deal's evident imperfection invited criticism and further tinkering, making way for improvements to the American democracy in the years afterward and yet to come."(p. 131)
Both the causes of the Great Depression and the remedies offered by the New Deal raise complex economic questions that cannot be fully described in a book of this brevity. Yet, Rauchway has fulfilled his purpose of writing a good "very short introduction" which will encourage his readers to think further about the economic and social change wrought by the Depression and New Deal.
