Final answer:
FDR explained the effects of the Great Depression and combatted it with the New Deal, which included relief, recovery, and reform measures aimed at reviving the economy. The administration's efforts led to job creation, improved infrastructure, and established social welfare programs which changed the role of the government in economic affairs.
Step-by-step explanation:
How FDR Explained the Effects of the Great Depression
President Franklin D. Roosevelt (FDR) inherited an economy in deep turmoil due to the Great Depression. FDR observed that the laissez-faire policies of the past had contributed to the economic decline and initiated the New Deal, a series of programs and policies designed to provide relief, recovery, and reform. Through these measures, FDR aimed to revitalize the economy by regulating financial institutions, providing unemployment relief, and improving infrastructure through various public works projects.
Relief and Recovery Efforts: FDR's explanation of the effects of the Great Depression includes acknowledging over 25% unemployment rates, banks' failures, wastefulness of agricultural produce due to price falls, and dire need for federal involvement to uplift the economy. In response, his administration set up programs such as the Works Progress Administration (WPA) to create jobs and infrastructure projects, while other programs like the Social Security Administration were established to support retirees and individuals with disabilities.
Economic Transformation: FDR believed in combating the Great Depression with the urgency one would accord to an invading foe. He adapted his policies when necessary, notably increasing government spending when advised by economists like John Maynard Keynes, which avoided further economic downturns and set the foundation for a transformative era in U.S. government policy towards the economy.