Learning Targets

Roosevelt Takes Office Election of 1932  Hoover was blamed for much of the effects of the depression  Franklin Delano Roosevelt (FDR) elected president  Program for dealing with depression called the New Deal  Roosevelt was outgoing, confident, and gave hope to the American people  Former governor of New York  Married to his cousin, Eleanor Roosevelt

Roosevelt Takes Office Polio  FDR contracted polio in 1921 which paralyzed his legs  FDR refused to let people see him as handicapped – all photos showed him standing or seated – never in a wheel chair  FDR established a foundation for polio victims  Entertainer Eddie Cantor suggested every American donate a dime  Drive became known as the March of Dimes and in 1945 FDR’s face was placed on the dime

First New Deal The Hundred Days  First hundred days of FDR’s administration – flood of bills passed into law  Emergency Banking Relief Act – closed all banks and re-opened those that were financially sound  Fireside Chats – FDR talked over radio directly to the American public to explain problems and solutions

First New Deal  Established Security and Exchange Commission (SEC) – regulated stock exchange and prevented fraud  Glass-Steagall Act – separated commercial banking from investment banking  Federal Deposit Insurance Corporation (FDIC) – provided government insurance for bank deposits up to a certain amount

First New Deal Farms  Agricultural Adjustment Administration (AAA) – paid farmers not to grow food to raise crop prices  Killed livestock to raise meat prices  Large commercial farmers mostly benefitted  Small farmers, many poor black and white sharecroppers hurt by program

First New Deal Industry  National Industrial Recovery Act (NIRA) – suspended anti-trust laws and allowed businesses, labor, and government to set up rules for industry  National Recovery Administration (NRA) – ran the program set up by the NIRA. Businesses that agreed to rules were given the Blue Eagle to show participation

First New Deal Relief Programs  The Civilian Conservation Corps (CCC) – offered jobs to young men 18 – 25 years old building national parks, working in forests, and constructing dams  Federal Emergency Relief Administration (FERA) – gave money to states to administer through their relief programs  Public Works Administration (PWA) – began public construction projects like dams and roads. Required companies to hire blacks

First New Deal  Civil Works Administration (CWA) Hired workers directly Employed over 4 million people Built airports, schools, playgrounds & parks, and playing fields CWA abolished in 1934 and workers fired Why?

The Second New Deal New Deal programs had not significantly impacted the Great Depression Unemployment still high Government in deficit spending – government borrowing money to operate FDR gaining opposition from other groups

The Second New Deal Huey Long  Most serious threat  Democratic senator from Louisiana  Populist / Boss of political machine  Attacked the rich  Established 27,000 “Share Our Wealth” clubs nationwide  If third party candidate in 1936 election could split Democratic vote and give election to Republicans  Assassinated 1935

The Second New Deal Father Coughlin  Catholic Priest – Detroit  Populist  Popular radio show  Called for heavy taxes on wealthy and nationalization of banking system  1935 established National Union for Social Justice – Democrats feared would become 3 rd party

The Second New Deal The Townsend Plan  Dr. Francis Townsend  Proposed federal government pay pension of $200 to every citizen over age 60  Recipients would have to retire and spend entire pension check each month  What would this accomplish?  Elderly politically mobilized – threatened 1936 election

The Second New Deal First New Deal failed to generate economic recovery Second New Deal launched to speed up recovery Works Progress Administration (WPA)  Employed workers in public works projects (roads, dams, airports, etc.)  Artists hired to create murals in public buildings  Actors & musicians employed

The Second New Deal The Supreme Court  New Deal meeting resistance in Congress  Supreme Court struck down NIRA in Schecter v. United States

The Second New Deal Rise of Labor Unions  1935 National Labor Relations Act (aka Wagner Act) – guaranteed right of labor to organize and bargain collectively  Law established National labor Relations Board – organized factory elections by secret ballot  Set up process of Binding Arbitration – neutral party would listen to both sides and decide the issue

The Second New Deal The Committee for Industrial Organization (CIO) – organized labor where it did not yet exist especially in auto and steel industries Sit-Down Strikes – workers stop working but refuse to leave the factory CIO grew to largest union – changed name to Congress of Industrial Organizations

The Second New Deal 1935 Social Security Act  Goal to provide security for elderly and unemployed workers  Workers paid into the program  Provided monthly retirement benefit at age 65  Provided unemployment insurance  Left out farmers and domestics (65% of black workers)

The New Deal Coalition Blacks and women supported by First Lady Eleanor Roosevelt FDR appointed first female cabinet member – Frances Perkins (Secretary of Labor) Great Depression turned the black vote to Democrats

The New Deal Coalition The Election of 1936  Republican nominee Alfred Landon  Left-wing threats to FDR weak (Huey Long assassinated in 1935)  Union Party formed with Townsend and Coughlin but had no leadership  Landslide victory for FDR

The New Deal Coalition Court-Packing Plan  Supreme Court declared the AAA unconstitutional  FDR developed plan to retire some judges and increase number from 9 to 15  Public saw this as power play – hurt FDR’s reputation Roosevelt Recession  1937 unemployment surged  FDR cut spending – economy tanked  Keynesian Economics – deficit spending

The New Deal Coalition Last Reforms  National Housing Act – help for low-cost housing  Farm Security Administration – gave loans to tenant farmers so they could purchase farms  Fair Labor Standards Act – established protection for workers, abolished child labor, and established 40-hour work week

The New Deal Coalition Legacy of New Deal  Late 1930’s saw more resistance to FDR from Republicans and Southern Democrats  New Deals had limited success in dealing with Depression  FDR did NOT end the Depression  Federal government had taken far greater powers  Broker State – US government working out conflicts between different groups  Safety Net – safeguards and programs that protected Americans from economic disaster