AP United States History - Terms and People – Unit 11, Chapter 33 (13th Ed.)
HONOR PLEDGE: I strive to uphold the vision of the North Penn School District, which is to inspire each student to reach his or her highest potential and
become a responsible citizen. Therefore, on my honor, I pledge that I have neither given nor received unauthorized assistance on this work.
The Great Depression and the New Deal: 1933 - 1939
Before studying Chapter 33, read over this “Theme”:
Theme: Roosevelt’s New Deal tackled the Great Depression with massive federal programs designed to bring about relief,
recovery, and reform.
After studying Chapter 33 in your textbook, you should be able to:
1. Describe the rise of Franklin Roosevelt to the presidency in 1932.
2. Explain how the early New Deal pursued the “three R’s” of relief, recovery, and reform.
3. Describe the New Deal’s effect on labor and labor management.
4. Discuss the early New Deal’s efforts to organize business and agriculture in the NRA and the AAA and
indicate what replaced those programs after they were declared unconstitutional.
5. Describe the Supreme Court’s hostility to many New Deal programs and explain FDR’s “Court-packing” plan.
6. Explain the political coalition that Roosevelt mobilized for the New Deal and the Democratic Party.
7. Discuss the changes the New Deal underwent in the late thirties and the growing opposition to it.
8. Analyze the arguments presented by both critics and defenders of the New Deal.
Know the following people and terms. Consider the historical significance of each term or person.
Also note the dates of the event if that is pertinent.
A. People
+Franklin D. Roosevelt
+Eleanor Roosevelt
Harry Hopkins
Frances Perkins
Father Coughlin
Huey Long
Francis Townsend
Mary McLeod Bethune
Harold Ickes
George W. Norris
John J. Lewis
Alfred M. Landon
+John Steinbeck
B. Terms:
“fifth party system” (see page 4)
Fascist (Fascism)
left (or left-wing) v. right (or right-wing)
boondoggling
nationalization
collective bargaining
parity
New Deal
Brain Trust
Hundred Days
the “three Rs”
Glass-Steagall Act
Civilian Conservation Corps (CCC)
Works Progress Administration (WPA)
AP United States History - Terms and People – Unit 11, Chapter 33 (13th Ed.)
HONOR PLEDGE: I strive to uphold the vision of the North Penn School District, which is to inspire each student to reach his or her highest potential and
become a responsible citizen. Therefore, on my honor, I pledge that I have neither given nor received unauthorized assistance on this work.
*National (Industrial) Recovery Act (NRA)
blue eagle
Schechter case / “sick chicken”
Public Works Administration
Agricultural Adjustment Act (AAA)
Dust Bowl
Securities and Exchange Commission (SEC)
*Tennessee Valley Authority (TVA)
Federal Housing Administration (FHA)
*Social Security Act
Wagner Act
Indian Reorganization Act of 1934
*National Labor Relations Act and Board
Congress of Industrial Organizations (CIO)
Liberty League
Roosevelt coalition (“forgotten man”)
“fireside chats”
Twentieth Amendment
Twenty-first Amendment
Court-packing scheme
Keynesianism versus monetarianism (see page 3)
+=One of the 100 Most Influential Americans of All Time, as ranked by The Atlantic. Go to Webpage to see all 100.
*=A 100 Milestone Document from the National Archive. Go to Webpage to link to these documents.
C. Sample Essay: Using what you have previously learned and what you learned by reading Chapter 33
you should be able to answer an essay such as this one:
“Roosevelt’s ‘New Deal’ marked a revolutionary turning point in America as decisive as 1776, 1800, and
1860.” Assess the validity of this statement.
D. Voices from the past:
“This is pre-eminently the time to speak the truth, the whole truth, frankly and boldly. Nor should we shrink from
honestly facing conditions in our country today. This great nation will endure as it has endured, will revive and will
prosper. So first of all let me assert my firm belief that the only thing we have to fear is fear itself – nameless,
unreasoning, unjustified terror which paralyzes needed efforts to convert retreat into advance.”
Franklin D. Roosevelt’s first inaugural address, March 4, 1933.
E. Interpreting Maps
AP United States History - Terms and People – Unit 11, Chapter 33 (13th Ed.)
HONOR PLEDGE: I strive to uphold the vision of the North Penn School District, which is to inspire each student to reach his or her highest potential and
become a responsible citizen. Therefore, on my honor, I pledge that I have neither given nor received unauthorized assistance on this work.
Keynesianism versus Monetarianism
KEYNESIANISM derives from the work of John Maynard Keynes, perhaps the most famous economist of the
twentieth century. His book, The General Theory of Employment, Interest and Money, published in 1935,
revolutionized economic thinking in the field of macroeconomic theory and policy; that is, the theory of the
working of the overall economy and of the policy measures to maintain economic stability.
The key propositions of Keynesianism
1. There is no natural tendency for capitalist market economies to correct economic shocks and maintain an
equilibrium at full employment. There was a regular pattern of boom and slump but it was assumed that
economies quickly righted themselves without government intervention. Keynes denied this.
2. It followed from number 1 that capitalist economies would commonly experience general unemployment and
that there would be no self generating economic forces to quickly correct the situation. So Keynes questioned
the then prevailing views about the nature and cause of unemployment. He made a crucial distinction between
what he called involuntary unemployment and voluntary unemployment. This distinction was one of the most
controversial elements in Keynes’s economics; disputed then and ever since. Involuntary unemployed were
those seeking work at the going wage rate but unable to find it. Previously, economists had tended to argue
that unemployment was due to rigidities in labor markets caused by factors like excessive wage claims, trade
union activities and unemployment pay. Voluntarily unemployed workers who were, it was assumed, the
majority of the unemployed, were those workers who chose not to work at the existing wage rates.
3. According to Keynes this failure to maintain the workforce in full employment was due to a lack of total
spending. The pre-Keynesian idea was that unemployment was largely due to wage rigidities.
4. These total spending failures were mainly due to a shortfall in investment. Business decision-takers were
prone to swings of irrational optimism and pessimism about future profitability and this affected their
investment plans. Adverse expectations would lead to a fall in investment expenditure, hence a fall in demand,
output and employment and thus a rise in unemployment. These effects would be made worse through the fall
in household incomes and the consequent reduction in household purchases.
5. From this diagnosis it followed that governments had a crucial role to play by economic stabilization
policies. A shortfall of demand required government action to offset it. This could be either by using fiscal
policies (taxation), increased government expenditure and/or tax reductions, or via monetary policy by
lowering interest rates or increasing the money supply. (Keynes himself, however, was rather doubtful about
the effectiveness of monetary policy.)
6. Politically, Keynesianism seemed to imply a large government sector as a necessary adjunct to rational
macroeconomic stabilization policy.
Keynesianism, both as a theoretical doctrine and as actual economic policy, had greatest influence (in the nonCommunist world) after 1945 and remained the dominant influence until the late 1960s. In the 1960s several
events seemed to cast doubt on the practical validity of Keynesianism and, at the same time, its theoretical
underpinnings were being questioned. The main attack came from monetarism, a doctrine spearheaded by
Milton Friedman and fellow members of the Chicago School.
Monetarism, like Keynesianism, has both a political policy aspect to it and a theoretical underpinning.
Although there is considerable diversity within its camp, monetarism may be summarized in the following
propositions:
1. Money plays a crucial role in any economy. In the short run fluctuations in the supply of money can have
effects on output and employment but in the long run changes in the supply only affect the general level of
prices; that is, the inflation rate. In the famous words of Milton Friedman “Inflation is always and everywhere a
monetary phenomenon.”
2. Monetary policy could not be left to the discretion of central bankers or governments but should follow rules
which laid down in advance the annual increase in the money supply. Thus, if zero inflation was the desired
goal the money supply should only increase by the increase in annual productivity.
3. Demand management as advocated by the Keynesians could do little to improve output or the standard of
living. These depended much more on supply side factors. Hence, monetarism is associated with what is
termed supply side economics.
4. Supply factors included improving the working of labor markets (by reducing the power of trade unions and
increasing work incentives) increasing productivity and efficiency by greater competition in markets - hence
privatization.
AP United States History - Terms and People – Unit 11, Chapter 33 (13th Ed.)
HONOR PLEDGE: I strive to uphold the vision of the North Penn School District, which is to inspire each student to reach his or her highest potential and
become a responsible citizen. Therefore, on my honor, I pledge that I have neither given nor received unauthorized assistance on this work.
Historians have divided American political history falls into five “Party Systems”
First Party System: The Founding (1789 - 1824)
 Two Party System
 First Two Parties
o Federalists (Hamilton)
o Democratic-Republicans (Jefferson & Madison)
 Local Influence
 End of the Federalist Party
Second Party System: Jacksonians (1828 - 1854)
 Rise of the Democratic Party
 Party Organization
o Organized the party at local levels
 Rise of the Whig Party
Third Party System: Civil War, Reconstruction, Sectionalism, Race, and Money (1856 - 1896)
 Rise of the Republican Party
o Made up of old Whigs and Democrats who opposed slavery
o Dominated politics for next 2 decades
 Party Machinery
o Gave favors in exchange for votes
Fourth Party System: Era of Reform (1896 - 1932)
 Progressive Era Reforms - ended the party machine
o Civil Service Exam
o Australian Ballot: secret ballot
o Primary Elections
Fifth Party System: (1932 - Present)
 Party line voting declined, and ticket splitting increased
o Rise in Divided Government: one party holds the Presidency and the other party holds
power in Congress
 Voters become more indifferent to the parties
 Electorate became more volatile
o Caused by rapid migration in the society
 Increase in third parties
AP United States History - Terms and People – Unit 11, Chapter 33 (13th Ed.)
HONOR PLEDGE: I strive to uphold the vision of the North Penn School District, which is to inspire each student to reach his or her highest potential and
become a responsible citizen. Therefore, on my honor, I pledge that I have neither given nor received unauthorized assistance on this work.
Name _____________________________
Period ___________________
The New Deal: the “three Rs”
The various initiatives of Franklin Roosevelt’s New Deal are often viewed as the “three Rs”: Relief, Recovery, and Reform.
Put the various initiatives listed below into the proper column based on whether it was done for Relief, Recovery, or Reform.
Note: some may fit more than one category
Year Created
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Hundred Day Congress
FDR Closes banks
Civilian Conservation Corps (CCC)
Federal Emergency Relief Administration (FERA)
Agricultural Adjustment Act (AAA)
Tennessee Valley Authority (TVA)
National Recovery Act (NRA)
Public Works Administration (PWA)
Glass-Steagall Act (creates FDIC)
Later New Deal Measures
Civil Works Administration (CWA)
Securities and Exchange Commission (SEC)
Indian Reorganization Act (sometimes called the “Indian ‘New Deal’”)
Federal Housing Administration (FHA)
Works Progress Administration (WPA)
Wagner Act / National Labor Relations Act
Social Security Act
Hatch Act
Other Actions
Twentieth Amendment
Twenty-first Amendment
Recovery
Relief
Reform
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