2. The Great Depression faced the
United States for many years until
1940 where the government began
heavy military spending and
drafting millions of men into
service. Employing around 17
million men and not to mention
the increased demand for military
supplies. It is well known that WW2
ultimately pulled the United States
out of the Depression.
3. BUT WHAT IF WW2 NEVER
HAPPENED?WW2 transformed the economy almost overnight. But If WW2 never
happened the United States would of taken much longer to stabilize the
economy.
4. After the Stock Market Crash of
29, unemployment had reaches
23.6%. Many Americans became
homeless and over 500 banks
has crashed. Not to mention
drought and erosion caught The
Dust Bowl which was a series of
dust storms that caused families
to abandon their farms.
5. I BELIEVE THAT SOCIAL
DEMOCRACY WOULD BE THE BEST
SOLUTION FOR THIS TIME.
Classical Conservatism doesn’t have a strong set view on economy.
However, Neo-Conservatism believes that there should be limited
government involvement , with limited social programs. I don’t think Neo-
Conservatism would have the solution for mass employment. Even though
they believe that the economy would start with a trickle-down theory where
the wealthy would provide jobs for the poor; supply-side economics
doesn’t provide enough stability to control the effects of the depression.
Other left-wing ideologies like Socialism, Marxism and Utopian Socialism
would not gain much support in America. Even Roosevelt’s Work Program
Act under this new deal was criticized for being communist.
6. THE SOLUTIONS THAT SOCIAL
DEMOCRACY OFFERS:
Employment through government created social programs still with a
market economy.
Third Way ideas that combines individual choice with the social
opportunities of a welfare state.
As well as Keynesian economics to increase the productivity of the
economy.
By adopting Social Democracy, Sweden became the first state to
recover completely from the Depression.
7. STRATEGIES
Social Programs to encourage demand and provide jobs.
Progressive Tax to put more money in the hands of more individuals.
Lower Interest rates to encourage Investment
Lower trade tariffs to encourage exporting
8. THE EFFECTS ON THE ECONOMY
Using the Keynesian model the government would most likely run
deficits while the economy is slowed. They would of have to pay for
the social services, but eventually the economy would start up again.
Then governments can cut back on spending and cut unnecessary
programs.
9. EFFECT ON CLASSES
The classes that would benefit the most from this ideology would be
the middle and lower classes.
The Welfare State would prevent the Working Class from falling into
poverty
