Many of the issues concerning America today are reminiscent of what was going on during the 1930s. For example, while both Obama and Roosevelt came into office during very bad economic times, both presidents were concerned about the welfare of the people. Additionally, both presidents tried to jumpstart the economy trying new techniques. Although both presidents seemed to fail at the time, it may be possible to see the near future by looking at the 1930s past.
Although there had been earlier attempts at organizing farmers, it was not until 1933 that farmers, then newly organized into the Holiday Farmer’s Association of 1933, that they became politically strong enough to make a national difference. Goodwyn described how and why the original groups formed and why their organization became strong enough to pressure President Roosevelt into making changes that ultimately helped move the country out of the Great Depression while making lives easier during the 1930s.
At the time, the country was on the gold standard. Goodwyn explained how the Gold Standard worked against ordinary farmers and production workers. His simple example, starting with ten pieces of gold, and then doubling the population while simultaneously doubling the production demonstrated how, if the overall amount of available gold was also not also simultaneously doubled, the value of the produced goods then dropped by one half, thereby making it difficult turn any profits over the long term. In other words, as population and the amount of available goods grew, if the amount of available currency did not grow, the prices people paid for those goods would drop because the value of the money would continue to rise in comparison. Therefore, anyone holding onto their gold could buy even more goods over time. Without people buying things, the economy faltered and crashed.
In another example, McElvaine’s Great Depression, explained how President Roosevelt tried in vain to show to explain how a possible farming revolution might have developed as gold prices for the grains fell. According to McElvaine, Roosevelt felt the best way to counter declining prices was by increasing the value of Gold while simultaneously devaluing soft currencies. Borrowers used soft currencies like silver to repay the loans given in the form of gold. While the process kept the economy moving, Roosevelt’s plan could not move fast enough, and was not large enough, to keep the economy solvent. Furthermore, according to McElvaine, eventually Roosevelt recognized his bankers economic advice centered on their own well being, not the producers and farmers who needed the most help. However, Goodwin had even less kind words, and took the issue a step further by stating that while Federal Government Officials recognized there would be hardships, unlike President Roosevelt, they were apathetic to the needs and issues that concerning everyday people.
Recently, the United States Supreme Court ruled in favor of President Obama’s Health Care plan. Conservatives have argued the plan will lead the country directly to socialism and bankrupt the economy while Liberals claim the country needs the health care plan to help the people who need it most.
So how are Roosevelt and Obama similar? The argument over health care reminds me of the arguments about staying on or getting off the Gold Standard. People who had money and worked in banking and the government wanted to stay on the gold standard, while farmers and the poor recognized the hopelessness they would endure if the country remained on the gold standard. Today, President Obama has led the country into a future of heath care solvency. Roosevelt got the country off the Gold Standard, Obama gave the people of America the ability to become healthy. Roosevelt had the bankers, land speculators, and his own government officials fighting him. Obama had the bankers, drug reps, and the government officials fighting him. In both cases, the public was being harmed. In both cases, it took a strong president to protect the people. After all, isn’t that the role of the President of the United States?
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