When A Turn Toward Austerity Turned To Disaster.
Associated Press
President Franklin D. Roosevelt drummed up populist support in one of his last
campaign speeches at Madison Square Garden in New York, on Oct. 31, 1936.
But after he was re-elected, Roosevelt slashed government spending.
Four years into Franklin Roosevelt's first presidential term, the worst of the Great Depression seemed behind him. Massive jolts of New Deal spending had stopped the economic slide, and the unemployment rate was cut from 22 percent to less than 10 percent.
"People felt that there was momentum," U.S. Senate historian Donald Ritchie tells Guy Raz, host of weekends on All Things Considered. "Finally, there was the light at the end of the tunnel.".
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