Graphic Organizer Quiz 1. What crisis did FDR’s first fireside chat resolve? 2. What did the AAA pay farmers to do? 3. What did the TVA provide to people in rural areas? 4. What act gave money (a pension) to older retired citizens? 5. What did the Fair Labor Standards Act outlaw? Bonus: What action by FDR was very unpopular with the American people?

The Second New Deal and Controversies Goal 9

Essential Idea Many people were critical of the New Deal program, including Supreme Court justices.

Problems of The New Deal Problem #1: Although the New Deal created 2 million jobs, 10 million people were still unemployed

Deficit Spending Problem #2: FDR had used deficit spending to pay for New Deal programs Deficit spending – borrowing money instead of balancing the budget to pay for the New Deal Deficit spending caused the national debt to grow

Opposition to the New Deal While some people _____________ the ______________ because they felt it gave too much ___________ to the __________________________, others opposed it because they felt it did not ______________________.

Who is the old man sitting down? What is being given to him? What is the message of the cartoonist?

Huey Long Who: Huey Long What he called for: He was a senator from Louisiana, nicknamed the “Kingfish” He wanted to raise the income tax He wanted the wealth to be distributed from the rich to the poor (a “chicken in every pot”)

Father Coughlin Who: Father Coughlin He was a Catholic priest who called for bimetallism (like the Populists) to raise prices This would help farmers and businesses He wanted the government to nationalize the banks

Townsend Plan Who: Francis Townsend He introduced the Townsend Plan This plan would make citizens over 60 retire Retirees would draw a pension of $200 that they would have to spend FDR “stole” this idea by creating Social Security

The Second New Deal 1. WPA Stands for: Works Progress Administration What it did: Similar to the PWA, it was the biggest public works program Spent $11 billion, hired 8.5 million workers, built 650,000 miles of highway and 125,000 buildings Controversial because it also paid artists to create art The WPA was funded using deficit spending

Where were most WPA projects done? Why do you think they were concentrated in the Northeast?

Wagner Act 2. Wagner Act What it did: Guaranteed the right of workers to form unions Guaranteed the right of unions to collective bargaining

Fair Labor Standards Act 3. Fair Labor Standards Act What it did: Outlawed child labor Limited the work week to 44 hours Set a minimum wage of 25 cents an hour

Social Security Act 4. Social Security Act What it did: Created a pension program for seniors Money was taxed from worker’s pay and given to people who retired after age 65 This helped families with older members

Was the New Deal Unconstitutional? Problem for the New Deal: Although the New Deal was popular with many Americans, it was not as popular with the Supreme Court

FDR vs. the Supreme Court Actions of the Supreme Court: The Supreme Court had ruled the AAA to be unconstitutional The Supreme Court was reviewing Social Security and the Wagner Act

Court-Packing FDR fights back: To keep the Supreme Court from killing the New Deal, FDR tried to implement a “Court Packing Plan” The “Court Packing Plan”: The plan would force older Supreme Court justices to retire The plan would expand the Supreme Court from 9 members to 15 FDR would be able to appoint new justices who supported the New Deal

Public Reaction Public Reaction: This was one of FDR’s biggest mistakes, and the American people felt that the executive branch was trying to gain too much power

Legacy of the New Deal/War on the Horizon Legacy #1: The New Deal was a “safety net” for Americans Legacy #2: the New Deal put in safeguards and relief programs for economic disasters Legacy #3: the New Deal expanded the power of the federal government However…. The Great Depression did not really end until the U.S. entered World War II