What comparison are they making about Obama and Why? Do you feel confident in the new leadership?

What challenges does President Elect Obama face that are similar to FDR?

PROMPTHow did the New Deal Respond to the problems of the depression and change the role of the federal government?

PromptWhat is the goal of Social Security? Should it continue?

PROMPTWhat New Deal legislation do you feel was the most important and why?

What comparison are they making about Obama and Why? Is it a positive one or negative?

Franklin D. RooseveltNew DealElection of 1932New President New Ideas

Franklin D. RooseveltPHASE ONEFirst 100 daysDepression hit hard

Franklin D. RooseveltMarch 1933 and June 1933Legislation3 basic categories of Legislation

ReliefReformRecovery

Franklin D. RooseveltFirst 100 daysBanking Holiday for 1 weekEncourage people to use banks

Franklin D. RooseveltFirst order of businessBank holiday closed all banksFederal inspectors examined all banks

Franklin D. RooseveltGlass-Stegal banking actEstablished Federal Deposit Insurance Corporation (FDIC) Insured accounts up to 2,500 dollars

Franklin D. RooseveltThose deemed solvent reopenedTwo thirds reopenedRestored confidence in banking industry

Prohibition Repealed

FIRESIDE CHATS

Relief Programs

Civilian Conservation CorpFederal Emergency Relief ActCivil Works Administration

ReliefCivilian Conservation Corps(CCC)1933put young men to work

Ages between 18-28Forest and parksPopular of all New DealTemporary employment about 1 yearLasted until 1934

Relief

Federal Emergency Relief Act (FERA)Loans to states to create programs to reduce unemployment

2. Federal Emergency & Relief Administration (FERA): direct relief ($, clothes) to people

FERA distributes clothingin Tennessee

RELIEFCivil Works Administration (CWA) was only a yearTemporary programGet people back to workWinter 1934Paid high wages

The CWA's four million workers laid 12 million feet of sewer pipe and built or improved 255,000 miles of roads, 40,000 schools, 3,700 playgrounds, and nearly 1,000 airports (not to mention 250,000 outhouses still badly needed in rural America

ReliefCreated Public Works Administration (PWA)Building projects including dams and buildings Not as successful business did not trust government

National Industrial Recovery Act in June 1933 established the PWAThe PWA spent over $6 billion

PWABetween July 1933 and March 1939 the PWA funded and administered the construction of more than 34,000 projects including airports, large electricity-generating dams, major warships for the Navy, and bridges, as well as 70% of the new schools and one-third of the hospitals built between 19331939.

Lasting PWA projectsCamp David

Doubleday Field

Dealey Plaza

FCAFarm Credit Association :Helped 40% of farms that were mortgaged by providing low interest loans through a Federal Land Bank for 50 year terms

RECOVERYWPANIRAAAAFHA

FHA

Federal Housing AuthorityFHAHome loans at discounted ratesIncreased home ownership to low and middle class

3. Works Progress Administration (WPA): gave jobs building public buildings and roads also hired artists & writers

WPA workers creating a floodControl dike in Arkansas

Works Project AdministrationWorked on smaller projects than the PWAHired unskilled labor and those on reliefBuilt things like sewers, city halls etc.

3. Agricultural Adjustment Act (AAA) farmers paid to NOT grow crops Texas farmersreceive AAAcheck

Increase farm income by reducing crop growingPaid farmers not to grow cropsTax on food processors paid the shortfall

By 1935 farm income raised by 50 percentHowever some small and tenant farmers were forced off land

RecoveryNational Recovery Act (NRA)codes of fair competitionMinimum wage(30 -40 cents)Maximum hours(35-40)Price fixing controlsCollective bargining

Wagner Act1935, National Labor Relations Act, called the Wagner Act, legalized collective bargaining and closed shops.

2. National Recovery Administration (NRA): set industry codes for production, wages, prices & working conditions

NRA collapsed before it was deemed unconstitutional by Supreme Court

NEW DealFDR appoints 1st woman: Francis PerkinsFor Secretary of StateAppointed African Americans to postsEleanor protested Jim Crow Laws

Critics Early onNew Deal agencies were giving increasing power to the federal government.The Supreme Court declared the NIRA unconstitutional because it gave the President more local controlStruck down the tax that funded AAA

Second New DealThe Second New Deal included more social welfare benefits, stricter controls over business, stronger support for unions, and higher taxes on the rich.New agencies attacked unemployment. The Works Progress Administration (WPA) employed more than 8 million workers

FSAThe Resettlement Administration and later the Farm Security Administration (FSA) helped migrant farmers, sharecroppers, and tenant farmers who were ignored by the AAA.

REAThe New Deal also brought electricity to rural America. The Rural Electrification Administration (REA) offered loans to electric companies and farm cooperatives for building power plants and extending power lines.

ReformTVA:Tennessee Valley AuthoritySocial SecurityNHAFDICSEC

Stabilizing financial institutionsFDR wanted to restore public confidence in the nations banks.Congress passed the Emergency Banking Act, which authorized the government to inspect the financial health of all banks.Congress also passed the Glass-Steagall Banking Act of 1933. This act established a Federal Deposit Insurance Corporation (FDIC) to insure bank deposits.

1. Federal Deposit Insurance Corp. (FDIC) insured savings accounts in govt approved banks

Logo banks display today for FDIC today

TVAToday, the TVA ranks as America's largest public power company, with a generating capacity of 31,658 megawatts. The TVA has become a major recreation provider as well

1. Tennessee Valley Authority (TVA): helped the valley by controlling floods and providing electricity

Rural area void of electricitySeries of dams and locksMade river navigableGenerated electricity for entire rural region

Greatly improved standard of livingConflict between large utilities and government

Second Term?What were some of the shortcomings and limits of the New Deal?What were the chief complaints of FDRs critics inside and outside of politics?How did the court-packing fiasco harm FDRs reputation?

CriticsThe Fair Labor Standards Act covered fewer than one quarter of all gainfully employed workers. It set the minimum wage at 25 cents an hour, which was below what most workers already made.

CriticsFDR also refused to support a bill to make lynching a federal crime because he feared that his support of the bill would cause southern Congressmen to block all of his other programs.

Many federal relief programs in the South reinforced racial segregation and because the Social Security Act excluded farmers and domestic workers, it failed to cover nearly two thirds of working African Americans.

CriticsDebate about the New Deal continues today. Critics believe that the programs violated the free market system. Supporters believe that providing relief to the poor and unemployed was worth the compromise.

FDRs Greatest MistakePacking the Supreme Court What?Why?Increase the # of Supreme Court justices from 9 to 15Kept declaring his programs unconstitutional (including NRA, AAA, SEC, etc.)

His Greatest MistakePacking the Supreme Court Results?Public grew angry (FDR taking too much power)FDR passed much less legislation after this Supreme Court Exterior

Other CriticsFather Charles CoughlinRadio Priest radio show reaching 10 millionOriginally supported FDR and New Deal1934 - National Union for Social Justice

1934 - National Union for Social JusticeCalled FDR Franklin Double Crossing Roosevelt and a betrayer and liarCoughlins ideas were reckless1942 ordered by Catholic Church to stop broadcasting show.

More CriticsHuey LongUS Senator from LouisianaRedistribution of WealthOnly could make up to 1 million dollars.

HUEY LONGThe rest would be collected by government and redistributed to give every American family a minimum household estate of $5000 dollars and minimum income of $2500 dollars.Also called for:Shorter working hours, more vet benefits, education payments and pensions for elderly.

More CriticsDr. Francis TownsendWanted more done for older Americans in the New Deal.

THE SECOND NEW DEALAlthough the economy had improved during FDRs first term (1932-1936), the gains were not as great as expectedUnemployment remained high and production still lagged

Second New DealSecond New Deal 1935Relief and RecoveryFederal Arts ProjectFirst time gave aid to artists Money for concerts to small towns

NEW Federal Programs of 2nd New DealWPA Works Progress AdministrationSocial Security ActNational Labor Relations Act

FHAFHA Federal Housing Administration provided home loans, home mortgages and repairs Repaired business in Childersburg, Alabama

WORKS PROGRESS ADMINISTRATIONHelping urban workers was critical to the success of the Second Hundred DaysThe WPA set out to create as many jobs as possible as quickly as possibleBetween 1935-1943, the WPA spent $11 billion to give jobs to 8 million workers

WPA BUILDS AMERICAWPA workers built 850 airports, 651,000 miles of roads and streets, and 125,000 public buildingsThe WPA also hired artists, writers and photographers to create artThe Davis Street School Extension in Atlanta under construction as part of the Works Progress Administration Program, November 2, 1936

NATIONAL YOUTH ADMINISTRATIONThe National Youth Administration (NYA) was created to provide education, jobs and recreation for young peopleGetting young people off the streets and into schools and jobs was a high priority for the NYA

Second new dealNational Labor Relations Act creation of NLRBAllowed workers to electWhich union they wanted to join

IMPROVING LABOR RELATIONSIn the Second New Deal FDR helped pass the National Labor Relations Act (NLRA) This legislation protected workers, ensured collective bargaining, and preserved the right to unionizeThe NLRA was also called the Wagner Act

CONGRESS PROTECTS WORKERSIn 1938, Congress passed the Fair Labor Standards Act which set maximum hours at 44 per week and minimum wage at 25 cents per hour

Second New DealSocial SecurityPension supported by taxes for elderlySmall pension for elderlyUnemployment compensation

In August 1937, the economy collapsed again. Industrial production and employment levels fell.The nation entered a recession, a period of slow business activity. The new Social Security tax was partly to blame. The tax came directly out of workers paychecks, through payroll deductions.

To fund the New Deal, the government had to borrow massive amounts of money. As a result the national debt rose from $21 billion in 1933 to $43 billion by 1940.

ReformSEC (Security and Exchange Commission)Regulated stock marketNo insider trading

2. Social Security Act pensions for retired workers, unemployment insurance, welfare

FDR signs SSA

Support for survivorsHealth insuranceHealth insurance was dropped in a compromise

Today, about 160 million people work and pay Social Security taxes and about 52 million people receive monthly Social Security benefits.Social Security replaces about 40 percent of an average wage earners income after retiring

The current Social Security system works like this: when you work, you pay taxes into Social Security. The tax money is used to pay benefits to:People who already have retired; People who are disabled; Survivors of workers who have died; and Dependents of beneficiaries.

MedicareMedicare was added in 1965Medicare is a federal program that helps to pay for older Americans' health costs. Some people incorrectly consider Medicare to be part of the Social Security system because taxes that finance part of Medicare are lumped in with those that pay for Social Security

RetirementSocial Security's retirement program provides a lifetime monthly income for qualified workers once they reach their full retirement age. Depending on when they were born, that age ranges from 65 to 67. The amount of retirement benefits that a worker receives depends on his or her income while working. Workers also have the option of receiving a lower monthly income starting at age 62.

SurvivorsSocial Security's survivors program provides a monthly lifetime income to the surviving spouse of a deceased worker once he or she reaches retirement age. The amount of the monthly benefit depends on both spouses' income while they were working. The survivors program also pays benefits to children under the age of 18 and the surviving spouse caring for them.

DisabilitySocial Security also pays lifetime monthly income to workers who are disabled and, in some cases, to their spouses and children under the age of 18. These benefits depend on the worker's earning history

NEW DEAL AFFECTS MANY GROUPSFirst Lady Eleanor Roosevelt helped women gain higher political positions during the New DealEleanor was influential in her role as advisor to the presidentFrances Perkins became Americas first female cabinet member (Labor)Eleanor & Franklin

MinoritiesAfrican Americans hard hit, programs were segregatedTenant farmers(sharecroppers) were often African AmericanRelief payments lowerIndian Reorganization Act 1934: allowed tribal control over land

AFRICAN AMERICANS DURING THE NEW DEALThe 1930s witnessed a growth of activism for black AmericansA. Philip Randolph became head of the nations first all-black union the Brotherhood of Sleeping Car Porters

AFRICAN AMERICANS GAIN POLITICAL POSITIONS FDR appointed over 100 African Americans to positions within the governmentMary McLeod Bethune headed the division of Negro Affairs of the NYADespite these gains, FDR was never fully committed to Civil Rights Bethune

NATIVE AMERICANS MAKE GAINSNative Americans made advances during the 1920s & 1930sFull citizenship granted in 1924The Reorganization Act of 1934 gave Natives more ownership of reservationsPolicy was moving away from assimilation towards autonomy

WPA Cultural Arts programs

CULTURE IN THE 1930sMOVIES:By the late 1930s, 65% of Americans were attending the movies at least once per week at one of the nations 15,000 movie theatersComedies, lavish musicals, love stories and gangster films dominated the movie industry Movies provided an escape from the hardships of the Great Depression

MOVIE A new era of glamour in Hollywood was launched with stars like Clark Gable, Marlene Dietrich and James CagneySTARS1930s

FAMOUS FILMS OF THE 30sOne of the most famous films of the era was Gone with the Wind (1939)Other notable movies of the era included The Wizard of Oz (1939) and Snow White and the Seven Dwarfs (1937)

RADIO: THE ORIGINAL ENTERTAINMENTSales of radios greatly increased in the 1930s, from 13 million in 1930 to 28 million by 1940Nearly 90% of American homes owned a radioFamilies spent hours listening to the radio

ROOSEVELTS FIRESIDE CHATSFDR communicated to Americans via radioHis frequent Fireside Chats kept Americans abreast of the governments efforts during the Depression

POPULAR RADIO SHOWSPopular radio shows included comedies with Bob Hope, Jack Benny, and the duo of Burns and AllenSoap operas (named because they were sponsored by soap companies) ran in the mornings, kids shows in the afternoon and entertainment at nightHopeBurnsAllenBenny

FAMOUS RADIO MOMENTSOrson Wells created a radio special called War of the Worlds It was an epic drama about aliens landing in AmericaUnfortunately, many thought it was a news broadcast and panicked

LIVE NEWS COVERAGERadio captured news as well as providing entertainmentOne of the first worldwide broadcasts was the horrific crash of the Hindenburg, a German Zeppelin (blimp), in New Jersey on May 6, 1937Such immediate news coverage became a staple in societyThe Hindenburg caught fire and was utterly destroyed within a minute Of the 97 people on board, 13 passengers and 22 crew-members were killed

ART DURING THE GREAT DEPRESSIONThe Federal Art Project (branch of the WPA) paid artists a living wage to produce artProjects included murals, posters and booksMuch of the art, music and literature was sober and seriousWPA Art Democracy . . .a Challenge artist, date unknown

ARTISTS HERALDEDPainters like Edward Hopper, Thomas Hart Benton, and Iowas Grant Wood were all made famous by their work in the WPA programPhotographer Dorothea Lange gained fame from her photos during this era (featured throughout this presentation)Woods American Gothic is perhaps the most famous piece of the era (1930)

A Political PartnershipFranklin RooseveltAppealing blend of cheerfulness, optimism, and confidenceAn effective communicator (ex. fireside chats)A reform-minded DemocratBelieved the government could solve economic and social problemsEleanor RooseveltEyes and ears of her husbandDirected efforts to solve several major social issues (ex. lynching of African Americans)Wrote her own newspaper columnHad the trust and affection of many Americans

The New Deal - Pros and ConsProsRestored optimism and hope to AmericansConsDid not really fix the depressionLeft the nation with much debt Provided necessary relief to manyLeft people too dependent on government (?)

What factors led to the recession of 1937, and how did the Roosevelt administration respond?What triumphs and setbacks did unions experience during the New Deal era?What effects did the New Deal have on American culture?What lasting effects can be attributed to the New Deal?

Questions: Why was FDR's administration labeled the "New Deal?" What were its three goals? What sort of relationship did President Roosevelt develop with the press and the public? What role did the radio play in Depression-era America? What role did Mrs. Roosevelt play in her husband's administration? Why did FDR engage in a series of "Fireside Chats" with the American people?

End of New DealRecession of 1937Caused by cuts in federal spendingFederal Reserve respondedIndustrial production declined

By 1938 New Deal had essentially come to an end.World Crisis beginning to emergeFDR turned his attention to preparing a reluctant nation for war.

Effects of New DealNew groups, ie workers, farmers,to positions that could challenge powerIncreased regulation of economyStock marketBanking systemWelfare systemSocial security

Programs todaySocial SecurityNLRA National Labor Relations AdminTVAFDICSECFederal Crop Insurance CorporationFair Labor StandardsREA Rural Electrification Admin

Success or Failure?Reduced unemployment by 7 millionSoil conservation schemes.The Stock Market and banks recovered.Transformed the Tennessee valley.Roosevelt was re-elected.Still 6 million out of work in 1941.The numbers fell due to enlistment and rearmament in WW2.Black people were segregated from white.Women were excluded from the New Deal.Tennessee benefited but many areas were still suffering.

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