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The Significance of Roosevelt's New Deal in America
Problem description:
On the Significance of Roosevelt's New Deal from the Development of Modern History
Analysis:
What is the essence of the New Deal (7)
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Serial: Roosevelt Press: Jinghua Press Author: Zhang
The "New Deal" has traces of Keynesian theory, but if the "New Deal" is an experiment of Keynesian theory, it may not conform to the facts, in fact, it is inconsistent in many aspects.
Keynes regarded deficit finance as a principle, while Roosevelt only regarded it as a stopgap measure, with the goal of balancing the budget. 1938, refusing to adopt deficit fiscal policy. Keynes thought that tax reduction was more favorable than tax increase, and Roosevelt advocated high progressive income tax; Keynes believed that economic revival and institutional reform, revival is the main thing, and reform should not be carried out at the same time to avoid the shadow.
Roosevelt believed that relief, revival and reform, as the pillars of the New Deal, were interrelated, which reflected the confidence of the business community. Keynes disapproved of raising prices as the goal, and Roosevelt believed that raising prices was related to the success or failure of the New Deal. Keynes advocated reducing real wages to increase employment opportunities, and Roosevelt advocated allowing workers to obtain more stable real wages to strengthen social purchasing power; On the most important point, that is, intervention in economic life, Roosevelt went further than Keynesian theory in practice.
Some specific practices of the "New Deal" are similar to those advocated by British economist Keynes, but its theoretical basis is not Keynes's thought, but deeply rooted in the soil of American civilization and historical experience. The following words are recorded by Roosevelt himself or his assistant, which helps us to understand the theoretical basis of the "New Deal":
-We used the traditional law of seeking truth from facts to tide over the difficulties together.
In the process of resolutely expanding social progress, we must rely on realistic reasoning, not dry formulas.
What we seek is the balance of the economic system, and we should carry out constructive reforms on many other shortcomings that restricted and hindered equality of opportunity in the past.
It is a truth that democracy can help people resist disasters that were considered inevitable in the past and solve problems that were considered insoluble in the past.
I have always believed that most of the difficulties we have experienced recently are the direct result of our failure to grasp the fact of economic interdependence politically.
The above five points fully reflect the general guiding ideology and philosophical basis of Roosevelt's "New Deal". Under the guidance of this premise, the important measures of the "New Deal" with far-reaching significance also have their theoretical basis and economic thought.
Social assistance and welfare system-* * is ultimately responsible for the welfare of all citizens. If private individuals cooperate with each other, but fail to provide jobs for those who are willing to work or provide relief for the unfortunate, then those who encounter difficulties through no fault of their own have the right to ask for assistance; And a veritable * * * must respond appropriately.
Work-for-relief and economic revival-Since the moral and spiritual temperament of the American people should not be damaged by lazy anesthetics, the project should follow the basic principles of usefulness and long-term economic benefits.
Deficit finance and inflation-since it is impossible to cook without rice, in order to save banks and insurance companies, mortgage companies and railways, and to take care of millions of starving people, * * * will have to borrow a lot in the next few years; * * * Solvency can be maintained through investment; If the growth of public debt is slower than the gross national product, there will be no collapse; If purchasing power increases, prices will rise and more goods will be sold. Wages must rise with rising prices, which does not mean unhealthy inflation and soaring prices.
Presidential power and * * * function-With the increasing complexity of human social relations, the power to rule this complex relationship must also be strengthened, that is, the power to prohibit evil deeds and promote good governance must be strengthened.
The theoretical basis of the "New Deal" is not what some people call Keynesianism, but has its own philosophical thinking, ideas and internal development logic.
Roosevelt's "New Deal" and Keynesianism are both typical products of the transformation from general monopoly capitalism to state monopoly capitalism, and they coincide, which is the main aspect. However, the two also influence each other. There are many similarities between them, because Roosevelt lived in a knowledge climate created not only by Keynes, but also by many people who considered the same problem. In this respect, they are all heretics and pioneers. Roosevelt's sensitivity was enhanced by his exploration of depression with a think tank. Through letters, visits to the White House and academic exchanges with Roosevelt's think tank, Keynes effectively transmitted his research experience and "effective demand" theory to the other side, which strengthened Roosevelt's intention to do what he wanted to do.
In addition, it is undeniable that Keynes published a book "General Theory of Employment, Interest and Money" in 1936, which referred to and affirmed the concrete practice of many aspects of the "New Deal" and refined and systematically developed some views and opinions of the "New Deal" people.
As an emergency prescription to save 1929- 1933 capitalist economic catastrophe, the "new deal" has already completed its historical mission, but it has left a far-reaching legacy, which can be summarized as three aspects:
First, within the scope of bourgeois democracy, the threat of economic crisis was relieved through state intervention, and the fascist forces were prevented from gaining power in the United States. William forster, an outstanding leader and theorist of the American workers' movement, made this analysis after Hitler seized power in Germany: "The fascist way adopted by the German bourgeoisie is not unique to Germany, but more or less a general trend of international monopoly capital. This is the method planned by big bankers, manufacturers and landlords. They want to overcome the general crisis of capitalism and eliminate the threat of socialism at home and abroad forever. Undoubtedly, the most reactionary among them, that is, the big capitalists, dream of building a fascist world. These ruling classes all over Europe are full of fascist views. This is especially true in Italy, Spain, Poland, Hungary, Baltic countries and Balkan countries. The French ruling class also has a strong fascist tendency, and so does the British ruling class, but to a lesser extent. "
American fascism may not be inclined, but it is not without this danger. The rise of fascism in Europe is associated with extreme revenge under the banner of nationalism. The United States is an immigrant country and a "multi-ethnic country", and its nationalism is not as deep as that in Europe. But the United States also has its own characteristics, that is, racial discrimination, universal discrimination against people of color. Racial discrimination has a deep historical origin in the United States and coexists with black slavery. American racist organizations became the basis of fascist or semi-fascist groups, which mushroomed in the 1930s. Although there are no fascist political parties in the United States, there are many groups that echo European fascist organizations, such as the American Fascist Association and the Black Association, 1932, which were established in Atlanta in September, and later the Silver Dressing Association, the White Dressing Association, the Brown Dressing Association, the Militia Regiment, and the American Democratic Party.
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