The First New Deal
The 1st 100 Days Roosevelt & Congress passed 15 bills New legislation & programs known as the First New Deal Goals of the New Deal: Relief, recovery, & reform Plan/Focus of the New Deal Put Americans back to work so they have money to spend Money spent= Stimulated economy
The 1st 100 Days Federal Deposit Insurance Corporation (FDIC) Insured bank deposits up to $5,000 Securities & Exchange Commission (SEC)= Regulated stock market, made it safe for investments; Made investors feel more confident in stock market
The 1st Hundred Days Numerous New Deal programs aimed to help farmers Throughout 1920s/30s, supply of crops exceeded demand Agricultural Adjustment Act (AAA)= Paid farmers to NOT plant parts of their farmland and to kill excess livestock Tennessee Valley Authority (TVA) Tennessee River Valley, one of poorest regions in the nation TVA built dams to control floods/generate electricity Replanted forests, built fertilizer plants, created jobs, attracted industry due to cheap power
1st Hundred Days= Relief Acts Civilian Conservation Corps (CCC) Public work relief program, 1933-1942 Provided unskilled manual labor jobs to over 2 million American men Jobs were related to conservation & development of natural resources 3 billion trees planted; Constructed lodges/trails in over 800 national/state parks Federal Emergency Relief Act (FERA) Gave states loans to alleviate unemployment; Money used to hire labor Federal Housing Administration (FHA) Regulated rate of interest & terms of home mortgages Increased amount of people who could afford down payment on a home
1st Hundred Days= Recovery National Industrial Recovery Act (NIRA)= Centerpiece of New Deal’s Recovery program Created the National Recovery Administration Developed codes of fair competition to govern whole industries; Codes made by business leaders, labor leaders, and government officials Created minimum wages for workers, minimum prices for goods that businesses sold Public Works Administration (PWA) Built dams, bridges, power plants, & government buildings
The 2nd New Deal
What was it? Legislative activity to solve problems created by the Great Depression; Began in 1935 Federal deficit grew; 1932= $461 million, 1936= $4.4 billion John Maynard Keynes, British economist, believed in pump priming Work Progress Administration (WPA)= Built/improved nation’s highways, dredged rivers/harbors, promoted soil/water conservation Employed over 8 million people
Social Security 1935= Social Security Act signed Created pension system for retirees Employment insurance for unemployed workers Insurance for victims of work-related accidents Aid for mothers living in poverty & children who were disabled
More Aid for Farmers Rural Electrification Administration (REA) Loaned money to electric companies to build power lines Brought electricity to isolated rural areas
Labor Unions National Labor Relations Act/Wagner Act (1935) Gave right of employees to join labor unions & right to collective bargaining Fair Labor Standards Act (1938) Created a minimum wage (.25 cents per hour) & maximum work week (44 hours) Congress of Industrial Organizations (CIO) Group of labor unions that consisted of lower-paid/ethnically diverse industrial workers 1936= United Automobile Workers Union, staged a sit-down strike; Lasted 44 days Amount of workers in unions went up drastically; 1940= 9 million