The New Deal

AP US History· difficulty 3/5

"An Act to provide for the general welfare by establishing a system of Federal old-age benefits, and by enabling the several States to make more adequate provision for aged persons, blind persons, dependent and crippled children, maternal and child welfare, public health, and the administration of their unemployment compensation laws; to establish a Social Security Board; to raise revenue; and for other purposes." — Social Security Act (1935), Preamble

The Social Security Act marked a major shift in American governance because it

  • A

    guaranteed a federal job to every adult

  • B

    established a permanent federal role in old-age and unemployment insurance

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  • C

    created the first federal income tax

  • D

    nationalized private pension funds

Explanation

Before 1935, old-age and unemployment relief were almost entirely state, local, or private; the Act made the federal government a permanent guarantor of basic economic security.

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