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■Essential Questions ■Essential Questions: –To what extent did Franklin Roosevelt’s New Deal provide relief, recovery, & reform during the Great Depression? –In what ways did the Dust Bowl exacerbate the problems of the Great Depression?
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Franklin Roosevelt & the First New Deal (1933-1935)
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The Dust Bowl (1931-1939) worsened the effects of the Depression Areas Affected by the Dust Bowl drought “Okies” & “Arkies”
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Election of 1932 ■Depression made Hoover victim, Franklin Roosevelt “savior”: –FDR able to unite rural & urban factions of Dem party & won landslide victory –FDR appealed Protestants & Catholics, farmers & workers, native-born & immigrants
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Split Demo Party ■Solid South – KKK, dry, rural ■Urban centers – immig, minorit, wet ■Two wings of D.P. Clash clash ■1924 nominee KKK supported ■1928 nominee was Al Smith
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“I pledge you—I pledge myself to a new deal for the American people.”
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The Hundred Days ■When FDR took over in 1933, US econ on brink of collapse: –Unemployment 25% –38 states had total bank failure ■FDR requested from Congress broad executive power for “New Deal” econ R, R, & R FDR asked for “broad executive power that would be given to me if we were in fact invaded by a foreign foe.”
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the only thing we have to fear is fear itself; “Let me assert my firm belief that the only thing we have to fear is fear itself; nameless, unreasoning, unjustified terror which paralyzes needed efforts to convert retreat into advance.”
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Public Relations Efforts: FDR’s Fireside ChatsPublic Relations: Eleanor Roosevelt’s travels
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The Hundred Days ■1 st 100 days, FDR began 1 st New Deal (1934-35) ■FDR’s 1 st order of business was to restore confidence in banking: –Declared 4-day bank holiday: closed or funded weak banks & opened new gov’t-aided banks –Glass-Steagall Act –Glass-Steagall Act created FDIC, guaranteed all bank deposits over $5,000 Banks regulated (not nationalized); econ system was reformed (not drastically changed) Emergency Banking Act of 1933
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“Capitalism was saved in eight days”
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The Hundred Days ■greatest success of First New Deal was offer relief to unemployed citizens –Modest relief checks to 15% of Americans –Federal Emergency Relief Act (FERA) –Federal Emergency Relief Act (FERA) pumped $500m into state welfare progs
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The Hundred Days ■Relief efforts of First New Deal created more “alphabet agencies” –Civilian Conservation Corps (CCC) –Civilian Conservation Corps (CCC) employed urban men –Civil Works Admin (CWA) –Civil Works Admin (CWA) hired 4m men & women –Agricultural Adjustment Admin (AAA) –Agricultural Adjustment Admin (AAA) subsidized farmers
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CCC pave roads, plant trees, build bridges
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CWA Creating drainage system for an airfield Dredging lake
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AAA
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% of American Families Accepting Govt Relief in 1933
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The Hundred Days ■National Industrial Recovery Act (NIRA) ■National Industrial Recovery Act (NIRA) was 1 st attempt at economic recovery: National Recovery Admin (NRA) –Created National Recovery Admin (NRA) set max hours & minimum wages & stimulated industry by fixing prices & setting prod. limits Public Works Admin (PWA) –Created Public Works Admin (PWA) to build public roads, bridges, & buildings Addtnl attempts to stimulate econ include taking the U.S. off gold standard & ending Prohibition (21 st amend)
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National Recovery Administration ended up too bureaucratic; business cooperation gave way to self- interest & greed
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The Hundred Days ■Some focused on long-term reforms –Tennessee Valley Authority (TVA) –Tennessee Valley Authority (TVA) dams in 7 states, provide cheap hydroelectric power & create jobs –Securities & Exchange Commission (SEC) –Securities & Exchange Commission (SEC) regulate stock market & prevent another crash
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The Tennessee Valley Authority Critics claimed TVA too socialistic; Competing electric companies attacked TVA for selling cheaper electricity & eliminating competition
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The Hundred Days ■1 st hundred days of FDR’s administration temporary solutions, but… ■…psychologically, Americans believed FDR actively responding to Depression
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The Hundred Days “Even the hand of an iron dictator is in preference to a paralytic stroke” —Alf Landon (Repub nominee in 1936) “The whole country is with him, just so he does something. If he burned down the capitol we would cheer and say ‘well, we at least got a fire started anyhow.’” —Will Rogers
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FDR & 2 nd New Deal (1935- 1938)
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Criticism of First ND ■failure of ND to end depression growing frustration among Americans –From 1933-1934, ND focused immediate problems, little help to unskilled workers & sharecroppers –1935 FDR shifted approach from econ relief to reform
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Challenges to FDR ■1935, signs of discontent with ND 3 critics gained national attention: –Father Charles Coughlin –Father Charles Coughlin called for nationalizing U.S. banks; used anti-Semitism in radio sermons –Francis Townsend –Francis Townsend appealed to elderly with $200/mo payment plan to over 60 to stimulate econ
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Father Charles Coughlin
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Dr. Francis Townsend
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Challenges to FDR Share the Wealth ■Louisiana Senator Huey Long proposed Share the Wealth plan: –Take from rich —100% tax on all personal income > $1m –Give to poor — give every American $2,500/yr
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Huey Long How many men ever went to a barbecue & would let one man take off the table what's intended for 9/10th of the people to eat? The only way you'll ever be able to feed the balance of the people is to make that man come back & bring back some of that grub that he ain't got no business with! Now, how are you going to feed the balance of the people? What's Morgan & Baruch & Rockefeller & Mellon going to do with all that grub? They can't eat it, they can't wear the clothes, they can't live in the houses. But when they've got everything on God's loving earth that they can eat & they can wear & they can live in, & all that their children can live in & wear & eat, & all of their children's children can use, then we've got to call Mr. Morgan & Mr. Mellon and Mr. Rockefeller back and say: “Come back here, put that stuff back on this table here that you took away from here that you don't need. Leave something else for the American people to consume.” “The Kingfish” Long threatened to run as 3 rd Party candidate but assassinated 1935
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Challenges to FDR ■popularity of opposition voices showed need for ND to do more Second New Deal ■In 1934 mid-term elections, Dems increased control of Congress & initiated series of programs called Second New Deal (1935-38) “Boys—this is our hour. We’ve got to get everything we want…now or never.” —RFC head Harry Hopkins
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The Second New Deal Works Progress Admin (WPA) ■The 1 st act of the 2 nd New Deal was Works Progress Admin (WPA), the most comprehensive, direct- assistance program of the New Deal –The national gov’t hired 10 million Americans in an attempt to stimulate the economy –WPA created building projects, funded artists, & pumped $10 billion into the economy WPA helped but never employed enough people to stimulate consumer purchase power—it made the Depression bearable
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WPA Public Work Project WPA cared less about what got done as long as work was done: built hospitals, schools, airport fieldS, moved leaf piles & dug ditches
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WPA Initiatives
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WPA Health Initiatives
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WPA Arts Project
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WPA Community Murals Construction of the Dam William Gropper
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Kansas City from Politics, Farming, & the Law Thomas Hart Benton, 1936 (part of History of Missouri murals)
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WPA Music Projects
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WPA Theater Projects
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WPA Writers Projects
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WPA Travel Guides
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WPA Oral History Projects: Interviews with former slaves
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Social Security ■Social Security Act ■Social Security Act (1935) 1 st U.S. welfare program for aged, disabled, & unemployed –Old-age pensions funded by employers & workers –Unemployment comp to begin 1942 funded nat’l taxes, administered by states –Welfare payments for blind, handicapped, & needy children
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■Liberal critics argued SS not enough ■Conservative critics argued SS violated individualism & self-reliance
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Labor Legislation ■Wagner Act ■Wagner Act (1935) created Nat’l Labor Relations Board to oversee labor-management affairs –management must negotiate w/ unions about pay, hours, conditions if majority of workers vote for union ■Fair Labor Standards Act ■Fair Labor Standards Act (1938) created 1 st minimum wage & maximum hour laws (aimed at helping non-unionized workers) 40¢ per hour 40 hours per week “Magna Carta” for labor
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Success of New Deal Programs?
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Conclusions ■The New Deal was made up of 3 parts: relief, recovery, & reform –New Deal was most successful in providing immediate relief to ease econ suffering –ND did not bring economic recovery or an end to Depression –New Deal brought major reforms that changed America 1 st time gov’t used Keynesian economics (deficit spending & gov’t spending to stim econ) gov’t assumed responsibility for health of nation's economy & citizens ND signaled beginning of welfare state
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