FDR AND THE NEW DEAL

 The U.S. dumped Hoover in the 1932 election, and choose Franklin Delano Roosevelt.  Roosevelt developed a plan known as the NEW DEAL.  This was his plan to fix the Great Depression.  This would expand the government’s role in the economy.

 March of 1933, FDR declared a bank holiday and closed all banks.  The Federal government inspected the banks and allowed healthy banks to reopen.  Failing banks could receive loans.  The Glass-Steagall Act created the Federal Deposit Insurance Corporation.  Provided insurance on individual bank accounts up to 5,000 (91,700) BANKING REFORM

 Informal radio talks by FDR about issues of public concern.  These chats made people feel the president was talking directly to them.  These chats provided people with confidence and increased support for the government and economy. FIRESIDE CHATS

 Agricultural Adjustment Act (AAA) – designed to raise prices by decreasing supply.  The government paid people to not plant a certain amount of land.  At first they also paid farmer to destroy food, but after outcry stopped.  Civilian Conservation Corp (CCC)  For men age – worked to build roads, parts, plant trees, soil and flood control projects.  Provided food, housing and pay.  3 Million participated by HELPING THE PEOPLE

 National Industrial Recovery Act (NIRA)  Provided money to states to build schools and other public buildings.  Created millions of jobs.  Criticized as make-work and a waste of money.  Other programs gave loans to people about to lose their homes.  Others provided money to run soup kitchens, provided clothes, or paid for work relief programs.

 The New Deal required deficit spending or spending more money than the government earns.  Liberals believe that New Deal did not do enough to help the poor.  Conservatives believed that too much was being spent on direct relief and the government had too much power. CRITIQUES OF THE NEW DEAL

 The Supreme Court ruled that NIRA and AAA were unconstitutional.  They gave the government power it did not have the right to.  FDR wanted to “reform” the court.  Proposed a bill to appoint 6 additional justices to the SC.  It failed  However, by the end of his 2 nd term FDR had replaced all but 1 justice. THE SUPREME COURT

 Works Progress Administration (WPA)  Goal to create as many jobs as possible.  Between 1935 and 1943 spent 11 billion dollars (1.7 trillion)  Provided 8 million people with jobs.  National Youth Administration (NYA)  Provided education, jobs, counseling and recreation to young people.  Student worked part time jobs while attending school. THE SECOND NEW DEAL

 The Wagner Act –  Protected workers right to organize and collectively bargain.  Prohibited unfair labor practices (threatening, firing workers for unionizing)  Congress set the maximum hours per week to 44.  Congress set the minimum wage at 25 cents. ($4.32) LABOR REFORMS

 The Social Security Act was passed in  Old-age insurance for retirees (65)  Unemployment compensation  Aid to families with dependent children and the disabled. SOCIAL SECURITY

 The New Deal saw several women appointed to high level government positions.  Women still faced discrimination in the workplace.  82% of people believed a wife should not work if her husband had a job.  New Deal set lower minimum wage for women.  Most programs hired fewer women than men, or did not allow women to apply.  The percentage of women working raised slightly. EFFECT ON WOMEN

 Roosevelt appoint more than 100 Afr. Americans to key positions.  Roosevelt was not committed to full civil rights.  He did not sign an anti-lynching law or end the poll tax.  Many New Deal agencies discriminated against Afr. Am.  Favored whites and paid Afr. Am. less.  In general African Americans supported him as the “best” option. EFFECT OF AFRICAN AMERICANS

 Received fewer benefits than Afr. Americans.  Also discriminated against by New Deal Agencies.  Often met with violence by employers or government authorities when protesting or attempting to unionize. EFFECT ON MEXICAN AMERICANS

 In 1933, the government moved away from a policy of forced assimilation, the process by which a person or a group's culture come to resemble those of another group.  FDR supported increased Native American independence.  Some reservation lands were returned to the tribes.  Closed many boarding schools, allowed schools on reservations.  Tribes were allowed to elected their own government. EFFECT ON NATIVE AMERICANS

 The New Deal did not end the Great Depression, but it relieved a great deal of suffering.  Opinions on the New Deal, range from horrible to wonderful.  Government’s role was greatly expanded.  Many New Deal programs ended but many others still exist.  What are your thoughts on the effectiveness of the New Deal?  HINT HINT HINT HINT!!!!!!!!!!!!!!! IMPACT OF NEW DEAL