Chapter 16, Problem 11AA

To determine

To ascertain:The ways with which the government had grown since the Great Depression.

Explanation of Solution

The Great Depression was a serious global economic crisis happening mainly during the 1930s, beginning in the United States. The duration of the Great Depression varied worldwide; it began in 1929 and continued until the late 1930s in most countries.

The spending on government infrastructure in the country; billions of dollars spent on WWII; as the nation became wealthier, people wanted more money, providing more public services, and more the mindset of laissez-faire. As the situation represented the Great Depression in World War II. Over 12 million Americans were sent to the military during the war, along with a similar number toiling in defense-related jobs. Production of goods and services fall, apparently, those war workers took control of the 17 million unemployed in 1939. The 1929 Great Depression destroyed the US economy. One-third of all collapsed banks, homelessness has grown, House prices have dropped by 67%, and foreign trade has plummeted by 65%.

The economic position of the federal government grew significantly after 1929. By 1940, the civilian staff surpassed one million employees and over 6% of the GNP was paid for by federal buying of necessary goods.

Many services that remained relevant into the twenty-first century have come from the starting in 1933, including social security, unemployment benefits, minimum wage, agricultural price support, deposit insurance, and labor union defense.

The government formed the Administration for Public Works (PWA) in June 1933, which was empowered to undertake government building projects that would provide jobs and generate useful infrastructure. The clearance of slum and the working of public housing projects were amongst its many activities.