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Essay On How Did Roosevelt's Use Of Social Security

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Prior to Roosevelt’s term in office, many Americans had difficulties in finding a stable source of relief. As the working population had diminished and jobs became scarcer, Americans had little choice but to seek financial help from others. At first, they would borrow from friends and families, but would later be forced to borrow credit from store owners and delay payed rent. When these methods could no longer be used, many Americans reluctantly turned towards locally established funds set aside by unions or civic groups that served a different purpose. When those options expired, they turned towards public relief and although “American cities had through own treasuries provided relief to the poor… even cities could not help their citizens” (Rauchway 42). With the combination of unemployment, limited reserves, and large population in need, the relief that many Americans sought and used may never be able to satisfy or stabilize their financial crisis effectively. Since the sources of aid and assistance were only locally available to those had …show more content…

Social Security came about when Roosevelt wanted workers and consumers to have more independence to back their own interests on the market in order to support his New Deal’s countervailing powers. While the initial plan was to use the respective American’s contribution and a portion of the general revenues of the U.S Treasury, Roosevelt opted for a more “self-financing plan under which old-age pensions worked on the model of insurance premiums” (Rauchway 98). When the worker would retire from old age, they would be able to draw their pensions without any governmental intervention. This would provide minimal amount of protection to average Americans, but unfortunately it could not be applied to all workers due to its restrained financial limits and late addition compared to other

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