FDR AND THE NEW DEAL. Born 1882 Born into wealth Distant cousin of Theodore Roosevelt VERY domineering mother
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1 THE NEW DEAL
2 FDR AND THE NEW DEAL Born 1882 Born into wealth Distant cousin of Theodore Roosevelt VERY domineering mother
3 FDR AND THE NEW DEAL Went to Groton (prestigious private school) Went to Harvard Got involved in New York politics
4 FDR AND THE NEW DEAL Married cousin Eleanor in 1905 (Theodore s niece) He gave her away at the wedding
5 FDR AND THE NEW DEAL Assistant Secretary of the Navy (Wilson) Ran (unsuccessfully) for Vice-President in 1920
6 FDR AND THE NEW DEAL Struck with polio in 1921 Recovered (lost use of legs, though)
7 FDR AND THE NEW DEAL Elected Governor of New York in 1930 Elected President in 1932
8 THE NEW DEAL: A REVOLUTION?
9 THE NEW DEAL: A REVOLUTION? "The only thing we have to fear..." The New Deal: an experiment Roosevelt wanted government involvement Try something new; if it didn t work, change it Looked to everyone for new and creative ideas
10 THE NEW DEAL: A REVOLUTION? Relief: Origins of Welfare State What can we do to provide relief for people right now? Recovery: End Depression How can we get the economy to recover and begin to grow? Reform: Prevent future depressions What reforms to the system need to be made so this never happens again?
11 KEYNESIAN ECONOMICS Theories of John Maynard Keynes British economist Liberal economic theory Prime the pump Government involvement Create jobs as a way to get the economy going Use deficit spending
12 THE FIRST 100 DAYS Goal: get money into people s hands Create jobs increase spending increase production hire workers 1 st issue: banks Emergency Banking Act Week long bank holiday Asks banks to invest and individuals to deposit fireside chats to spread message What happens after the week is up? Why?
13 ALPHABET SOUP Legislation under Roosevelt Known by acronyms Roosevelt becomes FDR
14 HOME OWNERS LOAN CORPORATION Government bought mortgages from banks; refinanced so people could make payments over 1,000 foreclosures per day Long term, low interest loans to make mortgage payments Kept people in homes; stimulated construction industry
15 FEDERAL DEPOSIT INSURANCE CORP. Insured bank deposits (up to $5,000 then, up to $250,000 now) If bank closed, you still get your money People felt safe to put money in banks again Part of Glass-Steagall Banking Act
16 FEDERAL DEPOSIT INSURANCE CORP.
17 CIVILIAN CONSERVATION CORPS Jobs for men age planting trees improving state and national parks restoring soil in Dust Bowl region conserving nature Provided educational opportunities Roosevelt wanted to keep young men busy. Why? Ended in 1942; Why?
18 CIVILIAN CONSERVATION CORPS
19 TENNESSEE VALLEY AUTHORITY Built dams in Tennessee River valley prevent flooding provide irrigation cheap hydroelectric power Provided jobs Helped farmers improve crop yields Criticism today: damage to fish runs
20 TENNESSEE VALLEY AUTHORITY
21 AGRICULTURAL ADJUSTMENT ACT Aid farmers by providing subsidies (price guarantees for crops) Regulated market by reducing supply (had farmers destroy crops) Farm income rose 50% in two years Farmers began crop rotation Ruled unconstitutional by Supreme Court Violated interstate commerce clause A revamped, constitutional replacement passed in 1938
22 NATIONAL RECOVERY ACT Also the National Industrial Recovery Act Set standards and codes for industries wages prices optional If you joined you got to display the blue eagle Ruled unconstitutional by Supreme Court Violated interstate commerce clause helped large industries at expense of smaller businesses
23 NATIONAL RECOVERY ACT
24 FEDERAL EMERGENCY RELIEF ACT $500 million direct relief to states, cities, and towns Create local jobs Provided some jobs, but not nearly enough Functions carried out by later agencies
25 CIVIL WORKS ADMINISTRATION Provided jobs to get through winter of Done at local level
26 PUBLIC WORKS ADMINISTRATION Continuation of CWA on larger scale Financed building projects Roads Schools Parks provided jobs Continued by WPA Constructed Bonneville Dam
27 PUBLIC WORKS ADMINISTRATION
28 SECURITIES AND EXCHANGE COMMISSION Supervised/regulated stock market eliminated dishonest practices stock pooling on-margin buying Federal government regulating stock market
29 THE 21 ST AMENDMENT Ratified December 5, 1933 Repealed 18 th Amendment Alcohol legal again Created a few jobs
30 THE FIRST NEW DEAL How would you evaluate the success of the first 100 days and the First New Deal? Do you see any potential problems? Is everybody happy with the progress of the New Deal?
31 CRITICS OF THE NEW DEAL The American Liberty League National Association of Manufacturers Dr. Francis Townsend Father Charles Coughlin Upton Sinclair Huey Long
32 CRITICS OF THE NEW DEAL Conservative critics American Liberty League New Deal went too far Democrats and Republicans protect laissez faire New Deal violated American principle of free enterprise National Association of Manufacturers Liberal policies were antibusiness Wanted laissez-faire approach
33 CRITICS OF THE NEW DEAL Dr. Francis Townsend Proposed old age pension (over 60) $200 per month 2% national sales tax to fund it Roosevelt incorporates into Social Security act (not as generous)
34 CRITICS OF THE NEW DEAL Father Charles Coughlin The radio priest government ownership of banks and utilities Brought down by anti- Semitic remarks Roosevelt was Jewish Jews benefiting financially from New Deal CBS dropped him
35 CRITICS OF THE NEW DEAL Upton Sinclair EPIC (End Poverty in California) State ownership of unused industries Socialist economic system Lost bid for governor
36 CRITICS OF THE NEW DEAL Huey Long Been both governor and Senator of Louisiana Share-Our-Wealth program Confiscate incomes over $1 million redistribute to people Guarantee $5,000 home and $2,000 annual income Planned run against Roosevelt in 1936 Roosevelt saw as threat Assassinated in 1935
37 THE SECOND NEW DEAL ( ) Gains being made; FDR wants more Wagner Act Social Security Act Works Progress Administration (WPA) National Youth Administration (NYA) Revenue Act Rural Electrification Act (REA) What will end the second New Deal?
38 THE WAGNER ACT Passed in 1935 Senator Robert Wagner National Labor Relations Act Granted right to organize (unions) Outlawed yellow dog contracts Outlawed blacklisting Created National Labor Relations Board Protects workers Allows union recognition Enforces collective bargaining agreements
39 THE SOCIAL SECURITY ACT Pension for retired Get elderly out of work force Money for disabled Money for widows and dependent children Initial benefit paid at 62 (average life span=64) Today: 65 to 70 Beginning of welfare state
40 WORKS PROGRESS ADMINISTRATION Continuation of Public Works Administration Largest New Deal agency ($11 billion) Employed 8 million Americans 1 in 4 had a WPA job Ended in 1942
41 WORKS PROGRESS ADMINISTRATION Built 651,087 miles of road Built 125,110 buildings Built 8,192 parks Built 853 airports Built 124,087 bridges Critics called it We Poke Along Called workers shovel leaners
42 WORKS PROGRESS ADMINISTRATION
43 WORKS PROGRESS ADMINISTRATION Employed artists Painters Sculptors Writers Dramatists Muralists Musicians
44 NATIONAL YOUTH ADMINISTRATION Part of WPA Provided jobs/training for teenagers and young adults Goal: stay in school; not competing with adults for jobs Ended in 1942
45 THE REVENUE ACT Passed in 1935 Called Soak it to the Rich act Raised taxes on incomes over $50,000 Increased business taxes Raised gift and inheritance taxes Rich called Roosevelt traitor to his class
46 RURAL ELECTRIFICATION ACT Electricity for rural areas, cooperatives, and farms loans to farm communities to build public utilities Provided some jobs helped farmers do jobs more effectively/efficiently by having power in 10 farms had electricity in 10 farms had electricity in 10 farms had electricity
47 THE ELECTION OF 1936 Roosevelt and Garner running for reelection Republicans nominate moderate Republican Kansas Governor Alf Landon Didn t mount a strong campaign
48 THE ELECTION OF 1936 Roosevelt created successful coalition of voters Urban workers Labor Northern blacks White ethnic groups Catholics Jews Liberals Intellectuals Progressive Republicans Middle class
49 THE ELECTION OF 1936
50 THE ROOSEVELT RECESSION Steady growth Roosevelt worried about deficits cut spending Unemployment jumped 5% Federal Reserve tightened credit Stock market dropped Re primed the pump Economy goes back up
51 SECOND TERM SUCCESS Fair Labor Standards Act Federal minimum wage (25 cents per hour) Maximum number of work hours (40 hours per week) Anti-child labor laws
52 SECOND TERM FAILURE Roosevelt being challenged by conservative Democrats and Republicans 1938 mid-term elections: went after conservative Democrats Republicans and conservative Democrats made big gains End of New Deal legislation
53 SUPREME COURT PACKING PLAN
54 SUPREME COURT PACKING PLAN Roosevelt frustrated with Supreme Court Proposed Justices must retire at 70 If not; president appoints new one Maximum number = 15 Any problems with this?
55 SUPREME COURT PACKING PLAN Congress refuses to pass it Cost Roosevelt permanent support Contributes to end of New Deal
56 EVALUATE THE SUCCESS/FAILURE OF THE NEW DEAL... HOW WAS IT BENEFICIAL AND/OR HARMFUL TO THE COUNTRY?
57 LEGACY OF THE NEW DEAL
58 BIG GOVERNMENT More government bureaucracy More government regulation More government intervention in economy U.S. becomes welfare state Larger government budgets Government is more federally centered How does it relate to today?
59 WOMEN First female cabinet member Frances Perkins Secretary of Labor
60 WOMEN Eleanor Roosevelt Redefines the role of First Lady Often served as her husband s legs Had her own causes Women s rights Civil rights
61 AFRICAN-AMERICANS Appointed Mary McLeod Bethune to Office of Minority Affairs Had black cabinet Minorities benefitted from New Deal However... Still segregation and racism Roosevelt didn t push for Civil Rights Large numbers of blacks leave Republican Party for Democratic Party
62 ORGANIZED LABOR Benefitted from New Deal Union growth (6 million) Rise of Congress of Industrial Organizations (union) Led by John L. Lewis Organized all labor together (not by skill) Use of sit down strikes Integrated
63 MEXICAN-AMERICANS Benefitted from New Deal Some job opportunities Involved in WPA projects Mexican-American artists part of WPA
64 NATIVE AMERICANS Benefitted from New Deal Some job opportunities John Collier Bureau of Indian Affairs Indian Reorganization Act Reverses Dawes Severalty Act More self-government for tribes Encouraged preservation of language and culture
65 CONSERVATION Like Teddy, FDR believed in conservation Protect from Dust Bowl New agricultural practices TVA CCC REA
66 FDR S POLITICAL LEGACY
FDR AND THE NEW DEAL. Born 1882 Born into wealth Distant cousin of Theodore Roosevelt VERY domineering mother
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