The New Deal

1
The New Deal
Chapter 25
Active Response to the Depression
2
FDR as President

• Background
• Polio
• New Attitude
• Psychological Therapy
• Fireside Chats

3
Analysis

• Under Consumption
• Possible Solutions????

4
FDRs 1st actions

• Bank holiday March 6, 1933
• Emergency Banking Act (only
  sound and healthy banks would re-open)

5
FDR

• Relief
• Recovery
• Reform
• Relied on the advice of very intelligent group of
  advisors (Brain Trust)

6
Relief Programs(designed to relieve suffering of
the needy)
7
Federal Emergency Relief Administration

• (FERA)
• Harry Hopkins
• Congress gives 500 million to states, cities,
  and towns
• used money to repair roads / improve parks, etc.

8
Civil Works Administration

• (CWA) build roads, parks, airports, and other
  facilities
• gave jobs to 4 million previously unemployed
  Americans
• tremendous morale booster

9
Civilian Conservation Corps

• CCC provided help for males (18-25 yrs.) most
  worked on projects to conserve the nations
  natural resources

1 a day Sent 25 / mo. To Family
2.5 million men
10
Recovery Programs(designed to lay foundation for
economic growth)
11
Public Works Administration

• Harold Ickes
• funded large scale engineering projects bridges,
  dams, etc.
• spent 6 billion in 6 years
• Hoover Dam

12
Tennessee Valley Authority

• created jobs and helped farmers in countrys
  least modernized region
• TVA provided cheap electrial power, flood
  control, and recreational opportunities
• criticism government owned industry

13
Agricultural Adjustment Administration

• Henry Wallace, Secretary of Agriculture
• Paid farmers NOT to raise certain crops and
  animals
• Lower production more
• CONTROVERSIAL
• Voluntary

14
National Industrial Recovery Act

• NIRA creates NRA
• sought to bolster industrial prices
• trade industry codes
• management-labor relations (Sect 7A)

15
Reform ProgramsDesigned to help prevent future
economic crises
16
Glass-Steagall Banking Act (1933)
created the FDIC (Federal Deposit Insurance
Company)
17
Securities Act (1933)

• honest disclosure of stocks, bonds
• eventually led to the SEC (Securities Exchange
  Commission)

18
Gold Reserve Act (1933)

• took America off the Gold Standard (1 paper 1
  gold)
• created inflation because the U.S. could print
  more money

19
Evaluation of the first 100 days

• big change in attitude of the American public
• If it failed, then you try something else

20
New Deal (1934- )
More Alphabet Soup
21
Works Progress Administration

• Harry Hopkins
• put people to work in their communities all
  types of projects
• Fed. govt paid 45
• most expensive New Deal program 11 billion

22
National Youth Administration

• NYA - Part of the WPA
• found jobs for kids so they could stay at school
• mowing grass, painting schools, etc.

23
Federal Housing Admin.

• FHA
• easier to get housing loans lower down payments,
  etc.
• attempt to boost construction of new homes
  ripple effect

24
Social Security Act (1935)

• designed to provide old-age retirement pensions
• collect share of the tax upon retirement
• Included Unemployment Insurance, Old Age Medical
  Health Insurance and Grants in Aid to the
  Disabled

25
National Labor Relations Act

• aka Wagner Act (1935)
• NIRA had been a failure, but Wagner Act was
  tougher
• act stipulated specific activities that
  management could not get involved in.
• Huge boost for labor unions

26
Critics of the New Deal
27
Conservative Critics
28
Radical critics

• Father Charles Coughlin
• Dr. Francis Townsend
• Senator Huey Long (Louisiana) Share the Wealth
  Program
• National Union Party

29
Election of 1936

• (D) FDR
• (R) Alfred Landon (Kansas)
• (NUP) Liberty Bill Lemke

30
The Supreme Court Battle

• Background
• Court Packing Scheme

31
End of the New Deal
32
Lasting Outcomes