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 She was Theodore s niece He gave her away at the wedding

5 FDR AND THE NEW DEAL Assistant Secretary of the Navy under 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 was 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: The Origins of the Welfare State What can we do to provide relief for people right now? Recovery: Ending the Depression How can we get the economy to recover and begin to grow? Reform: Preventing 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 was to get money into people s hands Create jobs increase spending increase production hire workers 1 st order of business: banks Emergency Banking Act Declares week long bank holiday Asks banks to invest and individuals to deposit Uses fireside chats to spread message What happens after the week is up? Why?

13 ALPHABET SOUP Legislation under Roosevelt Known by their acronyms People refer to Roosevelt as FDR

14 HOME OWNERS LOAN CORPORATION Government bought mortgages from banks and refinanced so people could make payments over 1,000 foreclosures per day Long term, low interest loans for people so they could meet their mortgage payments Kept people in their homes and stimulated the construction industry

15 FEDERAL DEPOSIT INSURANCE CORP. Insured bank deposits (up to $5,000 then, up to $250,000 now) If a bank closed, you could still get your money. Made people feel safe to put their money in banks again Created as a part of the 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 the Dust Bowl region conserving nature Also provided educational opportunities Roosevelt wanted to keep young men busy. Why? It ended in Why?

18 CIVILIAN CONSERVATION CORPS

19 TENNESSEE VALLEY AUTHORITY Built dams in the Tennessee River valley prevent flooding provide irrigation for farmers provide cheap hydroelectric power Provided jobs Helped farmers improve crop yields Criticism today is damage to fish runs

20 TENNESSEE VALLEY AUTHORITY

21 AGRICULTURAL ADJUSTMENT ACT Aid for farmers by providing subsidies (price guarantees for crops) Regulated the market by reducing the supply (having farmers destroy crops) Farm income rose 50% in two years Farmers began crop rotation Ruled unconstitutional by the Supreme Court Violated interstate commerce clause A revamped, constitutional replacement was passed in 1938

22 NATIONAL RECOVERY ACT Also known as the National Industrial Recovery Act Set standards and codes for different industries wages prices was optional If you did join your business got to display the blue eagle Ruled unconstitutional by the Supreme Court Violated interstate commerce clause Tended to help large industries at the expense of smaller businesses.

23 NATIONAL RECOVERY ACT

24 FEDERAL EMERGENCY RELIEF ACT $500 million in direct relief to states, cities, and towns Create local jobs Provided some jobs, but not nearly enough Functions were carried out by later agencies

25 CIVIL WORKS ADMINISTRATION Provided jobs to get through the winter of Done at the local level

26 PUBLIC WORKS ADMINISTRATION Continuation of the CWA on a larger scale Financed building projects Roads Schools Parks provided jobs It was continued by the WPA Constructed Bonneville Dam

27 PUBLIC WORKS ADMINISTRATION

28 SECURITIES AND EXCHANGE COMMISSION Supervised and regulated the stock market eliminated dishonest practices stock pooling on-margin buying Federal government is now regulating the stock market

29 THE 21 ST AMENDMENT Ratified December 5, 1933 Repealed the 18 th Amendment Alcohol is 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 Dr. Francis Townsend Father Charles Coughlin Upton Sinclair Huey Long

32 CRITICS OF THE NEW DEAL The American Liberty League Conservative critics The New Deal had gone too far Included Democrats and Republicans protect laissez faire economics New Deal went against American principle of free enterprise

33 CRITICS OF THE NEW DEAL Dr. Francis Townsend Proposed an old age pension for people over 60 $200 per month 2% national sales tax to fund it Roosevelt incorporates ideas into Social Security act (not as generous)

34 CRITICS OF THE NEW DEAL Father Charles Coughlin The radio priest Advocated government ownership of banks and utilities Brought down by anti- Semitic remarks claimed Roosevelt was Jewish Jews were benefiting financially from the New Deal CBS dropped him from the air.

35 CRITICS OF THE NEW DEAL Upton Sinclair EPIC (End Poverty in California) State ownership of unused industries Socialist economic system Lost his bid for governor

36 CRITICS OF THE NEW DEAL Huey Long Had served as both governor and Senator of Louisiana Proposed the Share-Our-Wealth program confiscate all incomes over $1 million redistribute to people guarantee a $5,000 home and a $2,000 annual income Planned to run against Roosevelt in 1936 Roosevelt saw him as a 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 the National Labor Relations Board Protects workers Allows union recognition Enforces collective bargaining agreements

39 THE SOCIAL SECURITY ACT Provided a pension for retired people Get elderly out of the work force Provided money for the disabled Provided money for widows and dependent children Initial benefit was paid at 62 (average life span was 64) Today benefits range from 62 to 70 Beginning of the 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 Also employed artists Painters Sculptors Writers Dramatists Muralists Musicians

44 NATIONAL YOUTH ADMINISTRATION Part of the WPA Provided jobs and training for teenagers and young adults Goal was to keep them in school and not competing with adults for jobs Ended in 1942

45 THE REVENUE ACT Passed in 1935 Called the Soak it to the Rich act Raised taxes on incomes over $50,000 Increased business taxes Raised gift and inheritance taxes Rich called Roosevelt a traitor to his class

46 RURAL ELECTRIFICATION ACT Provided electricity for rural areas, cooperatives, and farms provided loans to farm communities to build public utilities Provided some jobs helped farmers do their jobs more effectively and 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 are running for reelection Republicans nominate moderate Republican Kansas Governor Alf Landon Didn t mount a strong campaign

48 THE ELECTION OF 1936 Roosevelt created a 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 from Roosevelt worried about deficits cut spending Unemployment jumped 5% Federal Reserve tightened credit Stock market dropped Re primed the pump Economy began to go back up

51 SECOND TERM SUCCESS Fair Labor Standards Act Set a federal minimum wage (25 cents per hour) Set a maximum number of work hours (40 hours per week) Created anti-child labor laws

52 SECOND TERM FAILURE Roosevelt being challenged by conservative Democrats and Republicans In 1938 mid-term elections he 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 have to retire at age 70 If they don t retire, president gets to appoint a new one The maximum number would be 15 Any problems with this?

55 SUPREME COURT PACKING PLAN Senate doesn t ratify the treaty Cost Roosevelt permanent support in Congress Also contributes to the end of the 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 the economy U.S. becomes welfare state Larger government budgets Government is more federally centered

59 WOMEN Roosevelt appoints 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 a black cabinet Minorities benefitted from the New Deal However... Still segregation and racism Roosevelt didn t push for Civil Rights Large numbers of blacks leave the Republican Party for the Democratic Party

62 ORGANIZED LABOR Benefitted from New Deal legislation Led to union growth (6 million) Rise of the 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 legislation Some job opportunities Involved in WPA projects Many Mexican-American artists part of WPA

64 NATIVE AMERICANS Benefitted from New Deal legislation 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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