Which New Deal agency funded large public works projects to stimulate the economy?

• A. Wagner Act
• B. Public Relief Act
• C. Social Security Act
• D. Public Works Administration

Answer: (D)

Funding large public works to stimulate the economy was a deliberate strategy of the New Deal to create jobs and rebuild infrastructure. The Public Works Administration carried this out by channeling federal funds into big construction projects—dams, highways, bridges, schools, and other public buildings—through government contracts with private builders. By paying for these projects, it put unemployed people to work and boosted demand for materials and services, helping revive economic activity during the Depression. The other options don’t fit this specific role: the Wagner Act protected unions’ rights to organize, the Social Security Act established social insurance programs, and the notion of a Public Relief Act isn’t the agency responsible for large-scale public works. So, the Public Works Administration is the one that funded large public works projects to stimulate the economy.