The New DealFDR Offers Relief and Recovery

13.1Pages 396-403

Attempts to Fix the Depression; Programs 1. Quick Relief = Jobs 2. Long Term = Dams, Electricity 3. Reform = Bank System/ Stock Market Won’t happen againRhetoric Changes on Democracy; Won’t Handle Crisis Other Countries fell to Dictatorships-BUT- New Deal Will Restore FaithFDR won 1932 Election; Background (Marriage, Relatives and Polio)

Role of Government; Intervention Brain Trust Democrats, Republicans and Women (Francis Perkins)Relied on Eleanor; Eyes and Ears Dealing with Bonus Army and more

First 100 Days; Relief (immediate), Recovery (Long Term) and Reform (Prevention)Bank Holiday; Emergency Banking Bill Closes Bank (4 days) stops withdrawals & allows organizationFireside Chats ReassuranceIf Banks Failed Undermined any confidence in Federal Government Reform Financial System; FDIC ($5,000) and Securities & Exchange Commission (Stock Market)

Farmers; Agricultural Adjustment Act (AAA) Subsidies Overproduction Tennessee Valley Authority (TVA) Electricity & Flood Control; Dams, Industry , Jobs Rural Electrification Administration (REA) Electricity (2nd New Deal)African American Farmers Didn’t share equally in benefits Sharecroppers, Tenant Farmers

Jobs; Civilian Conservation Corps (CCC) forests, trails, irrigation, fought fires (2 million jobs) Environment Shenandoah National Park, Va. / others Public Works Administration (PWA) jobs; bridges, dams, power plants, government buildings Work Progress Administration (WPA) same as above AND work for artists (8 million jobs) 2nd New Deal Relief; Federal Emergency Relief Act (FERA) Funds; state & local job agencies Civil Works Administration (CWA) Public Work Jobs Home Owners Loan Corps (HOLC) loans to those who couldn’t afford mortgage Federal Housing Administration (FHA) bank loans to repair homes

Centerpiece for Recovery; National Recovery Act (NRA) Codes; Govern Whole Industries; min. wage & min. priceMain Idea; Increase wages workers buy more goods raise prices companies make profit

New Deal Complaints; 1. Power 2. National Debt 3. Individual Freedoms 4. Businesses Fears; in the future Oppression; Leads to American Liberty League On the other hand; American Socialist Party and American Communist Party Not enough only rich Other oppositions; 1. Huey Long (Robin Hood) Killed 2. Father Charles Coughlin Two Major Criticisms

Second New Deal

13.2 Pages 404-411

Second New Deal; 2 Major Issues it Addresses; 1. Social Security 2. Workers’ Rights (Wagner Act)1. Pensions for elderly, disabled and unemployed2. Right to organize, child labor, minimum wage Programs used today; Promotes General Welfare and Protection of Citizens’ Rights

Downfall of the New Deal; Expensive, Gov. Spending Money it Doesn’t Have, Deficit $4.4Billion Main Criticisms? John Keynes; Keynesian Economics Pump Priming Theory:Debt ok IF puts $ in people’s pockets buy more goods stimulates economy

-Social Security Act; Pensions for elderly, unemployed, disabled, poor mom’s, on job injuriesAvailable to everyone? -Strengthening Position of Industrial Workers Raises Standards of Living = Improves Economy 1. Wagner Act; Unions 2. Fair Standards Act; Min. Wage ($.25), 44 Hr. Work Week, Ends Child Labor Bitter Feud Between Unions; A.F.L Does Little to Recognize Congress of Industrial Organization (CIO)

New Deal Faces Challenges; Main Enemy S.C.O.T.U.S Shuts down many New Deal programsFDR’s Response Court PackingOpposition; Threatened Balance of Power; “Dictatorship”Hurts New Deal; Looses Support by Many, Quits making NEW New Deal Programs

Other Setbacks; Miscalculations in cutbacks on spending Peak of Unemployment (20%)Congressional Elections of 1938; Democrats lost seats in congress