Hoover, The Crash, and FDR

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Hoover, The Crash, and FDR

• Zisk US History

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1920s begin...
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Warren G. Harding

• Republican
• lower taxes, nat. debt
• pro big business/ high tariffs

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• America First
• Ohio Gang
• Scandals
• Dies in 1923 of a...

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Silent Cal Coolidge

• Reserved
• Honest
• No nonsense
• conservative
• pro-business

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1924 election

• Rep. Coolidge
• Dem. JW Davies (Al Smith)
• New Prog. LaFollette

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Post-war Eco.

• strong
• Loans
• Germanys blank check 30 billion
• Dawes Plan 1924

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Dawes Plan
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U.S. economy

• Silent Cal says ...
• Business of America is business.
• the man who builds a factory builds a temple

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sick industries

• Coal
• textiles
• growth S
• S P ()

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1928 election

• I choose not to run
• Rep. Herbert Hoover Sec. of Commerce
• Dem. Al Smith the Happy Warrior

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Campaign issues

• radio influential
• rugged individualism vs. welfare state of
  socialism
• Prosperity

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Hoovers Years

• get rich quick
• 1929 Agricultural Marketing Act
• Smoot - Hawley Tariff of 1930 (60)

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The Crash

• unregulated stock market speculation
• PEAK Oct. 24, 1929
• Black Tuesday, Oct. 29 Hits Bottom

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What should government do?

• 1933 25 unemployed
• Private efforts soup kitchens, bread lines
• Hoovervilles, Hobos
• Hoovers action based on American Individualism
  associationalism and cooperative individualism

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Prosperity is just around the corner

• Urged the lowering of taxes
• Began public works projects
• Urged voluntary lower farm production
• Reconstruction Finance Corp trickle down effect
• Bonus Army fiasco

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Franklin Delano Roosevelt

• I pledge myself to a new deal for the
  American people
• 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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First 100 Days 3 Rs

• Bank Holiday
• Relief, Recovery, Reform
• Glass-Steagall banking reform FDIC
• NIRA business cooperation on production/prices,
  codes of fair competition, min. wage and max.
  hours, NRA We do our part

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• HOLC-Homeowners Loan Corp
• Federal Securities Act
• AAA-Agriculture Adjustment Act
• TVA-Tenn. Valley Authority Sen. George Norris
• Federal Emergency Relief Admin. Harry Hopkins
• CWA-Civil Works Authority
• CCC-Civilian Conservation Corps

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Success?

• Fireside Chats
• Brain Trust
• Rural Electrification Admin.
• WPA-Works Progress Admin.
• 1936 election do you like FDR?

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Criticisms!!!

• Increase in power of Fed.govt.
• Increase in presidential power
• Loss of power to states/people
• Business restricted
• Supreme Court
• Huey Longs Share the Wealth
• Fr. Coughlin and Townshend

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Second New Deal

• Wagner Act or National Labor Relations Act
  1935
• Labor Unions have right to organize and bargain
  collectively
• National Labor Relations Board

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• Social Security Act 1935
• system of old age insurance
• Paid by workers and employers
• 65 years pension
• Unemployment insurance
• Care of children

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Changing Democratic Party

• Always been heterogeneous but now women,
  Hispanics, and African-Americans
• Black Cabinet Mary McLeod Bethune
• Unions Fair Labor Standards Act 1938 40 hr
  week, min.wage

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In the end

• FDR never understood economics
• Hoover had spent Govt.s
• FDR wanted balanced budget
• 1937 Roosevelt Recession
• 1938 Keynesian economics
• WAR Arsenal of Democracy

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The Importance

• Forced a change in the relationship between
  workers and employers
• Welfare State
• power of Federal Government
• Feds presence in citizens lives

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• Power of state/local govts.
• American citizens freedom and privacy
• Presidential power
• Deficit spending acceptable idea
• balancing of the human budget