1. The Great
NEW
DEAL
Depression

2. Causes of the Depression
People lose
their jobs.
Demand
drops.
Fewer goods
are sold.
The Spiral Of
Depression
Even more people
Lose their confidence
And spend less money
In order to
stay in business
companies cut
wages
Good place to point out that the spiral of depression is the opposite to the cycle of prosperity. Even discuss in relation to Henry Ford and the impact on the other industries that produced his standardised goods.
Companies are
forced to cut costs
by laying people off
People lose their
confidence &
start saving their
money
Demand
drops even
further.

5. Great Depression in the Cities
In cities across the country people:
lost their jobs
Were evicted from their houses
Ended up living on the street.
Shantytowns, soup kitchens and bread lines appeared

8. People waiting in line for bread and soup and also living out of their car.

9. I. A NEW DEAL FIGHTS THE DEPRESSION

10. The Election of 1932
FDR
Hoover

11. What were we thinking?

12. Americans Get a New Deal
1932 election Americans clearly wanted a change
Before FDR was president many state governors declared “bank holidays” TO PREVENT RUN ON THE BANKS

13. ELECTION OF FDR
Franklin Delano Roosevelt (Democrat) governor of New York
Democrats win control of both houses
Why was the victory easy- President Hoover’s failure to do ANYTHING EFFECTIVE ABOUT THE DEPRESSION

14. Waiting for FDR too take Over
FDR began to formulate a set of policies (New Deal) that would deal with problems caused by the Great Depression

15. FDR and the New Deal
During the presidential campaign of 1932, FDR promised Americans a NEW DEAL.
This would be his program to get America back on its feet.

16. Goals of New Deal Program
Relief
Help people right away
Recovery
Get the US out of the Depression
Reform
Make sure another depression does not happen

17. The Hundred Days
Between March 9 and June 16, 1933 came to be called the hundred days
FDR launched a period of intense activity
Known as the hundred days

18. The Hundred Days 15 major pieces of legislation
What was the Emergency Banking Relief Act? Shut down banks until government inspected them

19. New Deal: Relief Federal Emergency Relief Association (FERA)
Civil Works Administration (CWA)
Public Works Administration (PWA)
Civilian Conservation Corps (CCC)
Farm Credit Association (FCA)
Homeowners Loan Corporation (HOLC)

20. New Deal: Recovery Works Progress Administration (WPA)
National Recovery Administration (NRA)
Agricultural Adjustment Act (AAA)
National Youth Administration (NYA)
Federal Housing Act (FHA)

21. New Deal: Reform Federal Deposit Insurance Company (FDIC)
Securities and Exchange Commission (SEC)
Wagner Act (NLRB)
Tennessee Valley Authority (TVA)
Social Security

22. Key Quotes: FDR’s Inauguration Speech
This Nation asks for action, and action now. Our greatest primary task is to put people to work. I shall ask Congress for broad executive power to wage was against the emergency.
Link to:
Text of Speech
Video

23. Fireside Chats Series of radio addresses by FDR
30 total between 1933 to 1944
FDR used these to calm American people down.
CLICK on the radio to link to hear the 1st chat on the Bank Crisis

24. An Important Fireside Chat
What was their significance? People again began to deposit money in banks
By the time of FDR’s inauguration in 1933, most of the nation’s banks were closed ONE IN FOUR WORKERS WERE UNEMPLOYED

25. Regulating Banking and Finance
After his inauguration President Roosevelt’s first challenge was to restore America’s confidence IN THE BANKING SYSTEM

26. Regulating Banking and Finance
Glass-Steagall Act = established the Federal Deposit Insurance Corporation (FDIC)
It provided federal insurance for individual bank accounts
Separated commercial and investment banking

27. Regulating Banking and Finance
Federal Securities Act + required corporation to provided complete information on all stock offerings
What is the SEC? the Security and Exchange Commission whose job was to regulate the stock market

28. Helping the American People
Roosevelt administration implemented programs to provide relief to
Farmers
Other workers
Attempted to stimulate the economy

29. Rural Assistance Agriculture Adjustment Administration- sought to
raise crop prices
Lowering production by paying farmers not to grow so much

30. Rural Assistance What did the government do that upset many Americans?
Paid Hog farmers to slaughter 6 million hogs

31. Rural Assistance
Farm Security Administration gave loans to tenant farmers so they could PURCHASE THEIR OWN FARMS

32. Rural Assistance
Congress authorized the Farm Security Administration to help farmers REFINANCE THEIR MORTGAGES
Tennessee Valley Authority (TVA) = created 1000s of jobs providing electricity to the Tennessee Valley

33. Tennessee Valley Authority

34. Providing Work Projects
Civilian Construction Corps (CCC) = young men to work building roads, planting tress ect. UNDER THE DIRECTION OF THE FOREST SERVICE

35. Providing Work Projects
National Industrial Recovery Act (NIRA)= BUSINESS, LABOR, AND THE GOVERNMENT WERE ALLOWED TO SET PRICES, CODES OF FAIR COMPETITION

36. Promoting Fair Practices
NIRA also sought to promote industrial growth by establishing fair codes for individual industries
Workers were allowed to organize unions and bargain collectively

37. Food. Clothing, and Shelter
Home Owners Loan Corporation (HOLC) = provided government loans to homeowners who could not make their payments

38. Food, clothing, and Shelter
Federal Emergency Relief Administration (FERA) = $500 million to provide relief to the needy
Define deficit spending- spending more money that you are making

39. Reversing the Spiral of Depression
Government
Spending $
More Pay = More Taxes
Alphabet Agencies
More Jobs
Cycle of
Prosperity!
Democrats called
this Process
‘Pump Priming’
More Jobs
More goods have to be produced
More Spending
Demand for goods increases
Why not print this presentation out using the print handout command and select 3 slides per page. The students can then make notes as they go along!
Demand for goods increases
More Spending
More goods have to be produced
More people with
Jobs = more pay $

40. FDR and the Supreme Court

41. Court Packing….
The Supreme Court struck down several New Deal laws as unconstitutional.
FDR wanted to increase the size of the court from 9 to 15.
Would appoint justices who were pro-New Deal
Congress did not agree with FDR.
This hurt FDR’s image.

42. Huey Long FDR was NOT doing enough for the poor.
Long pushed his “Share Our Wealth” program.
Take all income over $1,000,000 to give:
House
Car
Annual Salary
For all Americans

43. Dr. Francis Townshend FDR was NOT doing enough for old people.
Proposed a $200 a month pension to everyone over 60.
This was good for (2) reasons:
$$ to boost economy
Open a job up for a younger American

44. Charles Coughlin FDR had NOT done enough….
Fr. Coughlin felt that FDR did not take on the powerful bankers in the United States.
Used the radio to blast FDR and became known as the “Radio Priest”.

45. Three Fiery Critics
Attracted to the ideas of Frances Townshend the ELDERLY mobilized as a political force for the first time
Roosevelt faced criticism from Democrat Huey Long who planned to run for president in 1936

46. II. THE SECOND NEW DEAL TAKES HOLD

47. The Second Hundred Days
By 1935 Roosevelt was seeking ways to build on programs from the first hundred days (The Second New Deal)
Who pushed for this? His wife Eleanor- a social reformer with great political skills

48. The Election of 1936
Republicans ran Alfred Landon (governor of Kansas)
Democrats ran FDR and he won easily
What two groups voted Democrat for the 1st time? African-Americans and Labor UNions

49. The Election of 1936 President Roosevelt won a landslide in 1936
Partly because millions of Americans OWED THEIR JOBS AND SAFETY OF THEIR BANK ACCOUNTS TO THE NEW DEAL

50. Election of 1936

51. Roosevelt Extends Relief
As part of the Second new Deal, Roosevelt administration and congress set up a series of programs to help
Youth
Professionals
And other workers

52. Work Progress Administration
Set up to create as many jobs as possible as quickly as possible
Headed by Harry Hopkins
Spent $11 billion and gave jobs to more than 8 million workers

53. Work Progress Administration
New Deals largest public works program
Employed 8.5 million workers
Built 65,000 miles of roadways
853 airports
124,000 bridges
8,000 parks

54. Works Progress Administration
List jobs for unskilled workers: construction workers
List jobs for skilled workers: teachers, writers, musicians, artists and theatre people

55. National Youth Administration
Created specifically to provide
Jobs
Counseling
recreation
For young people
Students worked part-time jobs while in school

56. Improving Labor and Other Reforms
FDR brought important reforms in
Labor relations
Economic security for retired workers
President Roosevelt’s and New Deal supporters in Congress believed that UNIONS could help the Depression by negotiating higher wages

57. Improving Labor Conditions
After the Supreme Court ruled the NIRA unconstitutional
FDR and Congress passed the Wagner Act or National labor Relations

58. Improving Labor Conditions
Wagner Act
Allowed for workers to join unions
Allowed for collective bargaining with binding arbitration
National labor Relations Board – watch for unfair labor practices and labor elections

59. Improving Labor Conditions
Committee for Industrial Organization set out to organize all
SKILLED AND UNSKILLED WORKERS IN THE AUTOMOBILE INDUSTRY

60. Improving Labor Conditions
Fair Labor Standards Act –
Maximum hours per week (44)
Minimum wage ($.25)
Set rules for those under 16
Banned hazardous work for those under 18

61. Social Security Act of 1935

62. Old Age Insurance
65 and older receive pensions funded by workers/employers
FDR imposed payroll taxes on workers and employers to help pay for Social Security benefits were A CRUCIAL ELEMENT of the economic program

63. How is Social Security funded?

65. Social Security Act 1935
Unemployment Compensation – helped workers who were unemployed
Aid to families- families with dependent children received money

66. Social Security Act of 1935
By establishing safeguards and relief programs that protected against economic disaster were called SAFETY NETS

67. III. THE NEW DEAL AFFECTS MANY GROUPS

68. President Roosevelt cut spending
First Social Security payroll removed 2 billion from economy
STARTED THE RECESSION OF 1937

69. Roosevelt cited an ECONOMIC THEORY KEYESIANIMS which held the government should spend heavily in a recession
To jump start the economy

70. Women Frances Perkins – 1st female cabinet member (Secretary of Labor)
Instrumental in Social Security and labor legislation
Still faced discrimination
Lower wages – accused of taking men’s jobs

71. American Indians
INDIAN REORGANIZATION ACT OF 1934 restored Indian reservation lands
Gave Native Americans control over their lands
Permitted them to elect their own government

72. African Americans
PUBLIC WORKS ADMINSTRATION required that contractors not to discriminate against African Americans
FDR appointed more than 100 African Americans to key positions in government

73. African Americans A. Phillip Randolph – African-American labor leader
Mary M. Bethune – educator who worked fro promoting opportunities for young African-Americans
The Black Cabinet – group of African-Americans advisors to the President

74. FDR Creates the New Deal Coalition
An alignment of diverse groups dedicated to supporting the Democratic Party (Southerners, urban groups, blacks, union workers)

75. Labor Unions Flourish
1933 – 1941 membership grew from 3 million to 10 million
Identify the CIO – Congress of Industrial Organization (large labor union)

76. Labor Unions Flourish What was the Memorial Day massacre?
10 people were killed and many injured when police broke up a steel workers strike in Chicago

77. IV. THE IMPACT OF THE NEW DEAL

78. Impact of the New Deal By 1939 the New Deal was effectively over
FDR was increasingly concerned with events in Europe
Particularly Hitler’s rise to power

79. Impact of New Deal
Economic recovery from the Great Depression would not be complete and unemployment would run high until AFTER WORLD WAR II

80. What will end the Great Depression?
America’s entry into World War II

81. Supporters and Critics of the New Deal
One legacy of the New Deal is the continuing debate over how much the government should INTERVENE IN THE ECONOMY OR SUPPORT THE DISADVANTAGED

82. Liberty League FDR had gone TO FAR with the New Deal.
Interfering with business and people’s lives.
Government was taking away freedoms from Americans.

83. Supporters of the New Deal
What did liberals think?
FDR did not go far enough to socialize the economy

84. Expanding Government’s Role in the Economy
New Deal gave the President the power to have a more active role in the economy by regulating supply and demand and government spending

85. Expanding the Government’s Role in the Economy
The federal government began getting deeper in debt from all the government spending plans
To pay for many New Deal plans, President Roosevelt abandoned the balanced budget and began using DEFICIT SPENDING

86. Protecting Workers Rights
New Deal legislation set standards
for wages and hours
banned child labor
Ensured the rights or workers to organize
And to collectively bargain

87. Protecting worker’s Rights
FAIR LABOR AND STANDARDS ACT – was a New Deal law that abolished child labor
Banking and Finance
New policies were enacted (SEC + FDIC) to regulate the stock market and oversee banking

88. Social and Environmental Effects
Social Security
Creation of Social Security System would help a large number of Americans receive some assistance

89. The Rural Scene
New Deal legislation set up quotas for production of crops and to control surpluses
Rural electrification helped to improve conditions in rural America

90. The Environment
Americans also continue to benefit from New Deal efforts to protect the environment
Identify the Tennessee Valley authority (TVA) Federal project that built a series of dams that provided electricity for the Tennessee Valley