The New Deal

Did the New Deal solve the basic problems associated with the Depression?

Was it effective?

The New Deal was to eliminate surplus goods, find new markets and solve the problems of chronic unemployment while staying in the framework of our democracy.

While it created agencies to help many people it never solved the basic problems associated with unemployment.

It tried to reassure people about their futures but by 1937 many were still unsure what the future held.

My SS # is 000-00-0000….so weird?

Liberty Bell, U.S. Nitrate Plant No. 1

Huge public works programs were seen as a threat to private enterprise, like this plant at the TVA.

The New Deal introduced Keynesian economics…that is, the government will spend money (tax dollars) to stimulate the economy.

Programs, like the WPA, are used to initiate this economic model.

Dust Storm

Okies associated with the Dust Bowl.

1937 saw a return to Hard Times for many.

REA and rural electricity.

Empire State Building1929-1931

Simon says…..

Dining al fresco.

As if the depression wasn’t bad enough, King Kong attacks NYC and the ESB in 1933.

1939 Film “The City”

TVA dam/locks

The Wagner Act creates the NLRB which allows for unions to more easily form and promotes collective bargaining in many industries.

Some kids were so poor they had to wear bushes as clothing.

Early Green Movement

NYA camp in New Mexico. Focus was on poor photography techniques at which they excelled.

CCC Camp fun…..

WPA theater group terror.

Concerns over FDR’s growing power would soon be replaced by growing concerns of aggressive actions in Europe, Africa and Asia.

Most historians agree that the New Deal did not solve the problems associated with the Depression.

New Deal

If the New Deal did not solve the problems of the Depression then what did ?

How did World War II do this?

•Greater government controls on the economy.

•Instituted forced savings of private capital.

•Redistributed income more effectively than any New Deal program.

• The New Deal allowed for the government to become a spending partner. We expect this today although we realize that there must be controls on unchecked spending.

• The New Deal allowed for a greater acceptance of the disenfranchised while keeping power in the hands of traditional groups.

• The New Deal transformed the role of the executive branch. This has had mixed results according to some historians.

Did the New Deal help us avoid radical alternatives?

Yes. The Depression was not viewed as severe enough by some to encourage radical alternatives. By promoting the inclusion of many different types into the so called “New Deal Coalition”, disaffected people were allowed to voice and promote their political agenda. This would dissipate attempts by extremists to encourage radical ideas and their inclusion into those groups..

This coalition would become the core group of the Democratic Party for the next 30 years and would dominate our domestic thinking until the 1970’s.