History Milestone 3

New Deal and Social Security Act

Angela Fasoli

Southern New Hampshire University

July 18, 2017

New Deal and Social Security Act

The New Deal and the Social Security Act is one of the important laws that establishes strategies to help provide income to old and other individuals that may have difficulties with surviving. This Act is associated with one major historical trend that made it be legalized as a law. This involves the signing of this Act by President Franklin D. Roosevelt in 1935 August. This made it start operating such that the old individuals receive some portion of income even after they retire in the government works as well as self-employment jobs (Nancy, Rose, 1989). This Act has experienced some historical trends, which include the strategies being associated with its operation such as setting certain amount of money for people to pay while they are in their working age. This provides time for them to save much for it to be given to them after they retire from their works. The New Deal and Social Security Act historical trend entails the strategies the United States government established to improve the livelihood of individuals who have retired and have no other source of income.

Beside this, there is new trend that relates to this New Deal Social Security Act. One major trend in this sector is the emergence of the insurance services that promote this idea of Social Security Act. People nowadays invest their money in insurance firms to help assure them in case of retirement or any other factor that requires social security erupts. These entail the risks such as diseases and illnesses, death and lose of property. The insurance firms are able to provide social security in such periods by financing the victims (Jill, Quadagno, 1984).This is evident in especially the individuals with families who save for their children in an event when they die. They are able to be confident that the insurance firms will provide education facilities and finance the spending of their children when they die or retire. This is a major trend in this Social Security Act since it relates to the idea of social security.

Nevertheless, these historical trends and major trend relating to this New Deal Social Security Act have greater significance to individuals as far as their social security is concerned. The historical trend and period signifies the exact experiences people had in that particular time. The old individuals had no source of income and were having difficulties with surviving. They enhanced the dependence ratio to the working population such that most of the income was spending to provide basic needs to these old populations. As a result, this Social Security Act became significant and was signed to help reduce this dependence by ensuring the old population has good saving strategy to finance their old age period. Insurance being a major trend in this New Deal Social Security Act also is significant in the sense that it provides convenient services and opportunities to individuals in the modern and present time for risk occurrences (Davis, 1986). People having insurance cover have confidence of security in an event of loss of property, retire or death. This reinforces the significance of this New Deal and Social Security Act in the current time.

References

Nancy E. Rose. (1989). Work Relief in the 1930s and the Origins of the Social Security Act,” Social Service Review 63, no. 1 (1989): 63–91.

Jill S. Quadagno. (1984). Welfare Capitalism and the Social Security Act of 1935, American Sociological Review 49, no. 5: 632–47.

Davis, K. S. (1986). FDR, the New Deal years, 1933-1937: a history (Vol. 2). Random House Incorporated.