The New Deal

Election of 1932

• Franklin D. Roosevelt – Democrat– Governor of New York

• Herbert Hoover – Republican– “Why not vote for

Roosevelt and make it unanimous?”

• Roosevelt wins in a landslide; Democrats also capture Senate and House of Representatives

The New Deal

• Roosevelt’s plan for dealing with the Great Depression

• 3 general goals– Relief for the needy– Recovery of the

economy– Reform of finances

The Hundred Days

• Roosevelt immediately takes action upon entering White House

• Congress passes more than 15 major pieces of legislation

• Expand government’s role in economy

Banks and Finance

• March 5, 1933– Roosevelt closes all

banks– Congress passes

Emergency Banking Relief Act

– Treasury Dep’t evaluates all banks

– Those that were healthy could reopen

– Those that weren’t could receive loans

Fireside Chats

• Roosevelt addresses nation over the radio

• Instills confidence• Explains what the

government is doing and why

• Encourages Americans to begin to use banks

Programs

• FDIC – Provided government insurance of bank

accounts of $5,000 or less

• Federal Securities Act– Companies responsible for complete

information with stock offerings

• SEC– Regulates stock market

AAA (#8)

• Agricultural Adjustment Act– Raise prices by

lowering supply – Paid farmers not to

plant food and to destroy livestock

– Many protest destruction of food while many were hungry

Jobs

• CCC (#11)• Civilian Conservation

Corps– Hired men to do

construction projects across the country

– Buildings, parks, highways

– Plant trees in the Dust Bowl area

• FERA (Federal Emergency Relief Act) #3– Direct relief for needy– States given money to

provide food, clothing and shelter

• PWA (Public Works Administration) #1– Provided money to states

to create jobs building schools and other buildings

• CWA (Civil Works Administration) #12– Provided 4 million jobs

• NIRA (National Industrial Recovery Act) #9– Established fair practice for

industries

• NRA (National Recovery Administration) #7– Set prices to encourage

fair competition– Established work

standards such as working hours and banning child labor

• TVA (Tennessee Valley Authority) #4– Focused on poverty

stricken region– Provided jobs renovating

and constructing dams

• HOLC (Home Owners Loan Corporation) #6– Provided government loans

to those facing foreclosure

Election of 1936Roosevelt beats Alfred Landon 523 electoral votes to 8

Democrats strengthen control of Congress

Second Hundred Days

• Democrats feel given a mandate by voters to continue reforms

WPA (Works Progress Admin) #10

– Create jobs as quickly as possible

– Built airports– Road construction– Libraries, schools, and

hospitals– Made clothes for the needy– Employed professionals to

write guides to cities, collect slave narratives, paint murals and other projects

• NYA (National Youth Administration) #2– Provides part-time jobs for high school and

college students

• National Labor Relations Act (Wagner Act)

#5– Federal gov’t supported right of workers to

join unions and collectively bargain– Listed unfair practices that companies could

not use

• National Labor Relations Board #– Hear testimony of unfair practices

• Fair Labor Standards Act– Set maximum hours and minimum wages– Set maximum hour workweek

Social Security #13• Created by Secretary

of Labor Frances Perkins (first female cabinet member)– Old age insurance for

retirees of 65 or older– Unemployment

compensation– Aid to families with

dependent children and the disabled

Critics

Supreme Court

• Declared NIRA and AAA unconstitutional

• Roosevelt tries to pass court reform bill to allow for 6 more Supreme Court judges– Court packing bill– Rejected

• Courts decisions start to shift in favor of New Deal

American Liberty League

• Wealthy business leaders

• New Deal violated respect for rights of individuals and property

• Roosevelt trying to establish dictatorship

Father Charles Coughlin• Roman Catholic priest

from Detroit• Favored guaranteed

annual income and nationalization of banks

• Broadcast weekly radio program

• Lost support because of Anti-Semitic statements

Dr. Francis Townsend

• Roosevelt not doing enough to support poor and elderly

• Stronger guaranteed pension plan

Huey Long

• Senator from Louisiana

• New Deal not doing enough

• Share Our Wealth program– “Every Man a King”

Impacts of New Deal

• Some argue went too far; others say not far enough

• Expanded power of federal government

• Government went into debt to provide programs

• Government protects workers

• Restored confidence in banks