Lakin
APUSH #4
Name ____________________
Date ____________ Pd _____
Franklin D. Roosevelt & The New Deal
I. FDR & the First New Deal (1933-1935)
A. The election of 1932
1. The depression made Hoover the “victim” & Franklin Delano Roosevelt the “savior”
2. In 1932, FDR united urban & rural, Protestants & Catholics, farmers & workers, native-born & immigrants
B. The First New Deal & the Hundred Days
1. The U.S. economy was on brink of collapse in 1933 which allowed FDR to gain broad powers from Congress to
begin his New Deal program of economic relief, recovery, & reform, especially in his first 100 days in office:
a. Franklin (“Fireside Chats”) & Eleanor Roosevelt (nationwide tour) engaged in a public relations campaign
b. FDR’s first tried to restore confidence in banks via a bank holiday & the Glass-Steagall Act (FDIC)
c. The greatest success of the First New Deal was using the Reconstruction Finance Corps to offer relief:
i. The gov’t issued relief checks & created the Federal Emergency Relief Act to support state welfare programs
ii. New work programs like the Civilian Conservation Corps (CCC) & Civilian Works Administration (CWA)
iii. Gov’t subsidized farmers to lower production & control prices via the Agricultural Adjustment Admin (AAA)
d. The New Deal also focused on overall economic recovery (not just personal relief from unemployment)
i. The National Industrial Recovery Act (NIRA) created the National Recovery Admin (NRA) to assist
workers with max hours/minimum wages & industry with production limits/fixed prices
ii. Other recovery efforts: Public Works Admin (PWA) created jobs; End to Prohibition & the gold standard
e. FDR’s First New Deal focused on long-term reforms to avoid a future depression
i. Tennessee Valley Authority (TVA) created jobs & hydroelectric power (but was attacked as socialistic)
ii. Securities & Exchange Commission (SEC) regulated the stock market
2. The programs of the Hundred Days/First New Deal were temporary solutions but showed an active gov’t response
II. FDR & the Second New Deal (1935-1938)
A. In 1935, the failure of the New Deal to end the depression led to a shift from economic relief to economic reform
B. Discontent with the New Deal by 1935, led to the rise of three nationally popular critics of FDR
1. Father Charles Coughlin (nationalization of banks) & Francis Townsend (payment for the elderly)
2. Louisiana Senator Huey Long’s “Share the Wealth” plan would take from the rich & give to the poor
C. The 1934 mid-term elections increased Democratic control of Congress & initiated the Second New Deal:
1. The Works Progress Admin (WPA) was the most comprehensive gov’t assistance program of the New Deal
a. The WPA invested $10 billion & hired 10 million unemployed Americans
b. The WPA was unique from other programs because it had a cultural component (artists, playwrights, historians)
2. Social Security Act (1935) was America’s 1st welfare program: helped the elderly, the unemployed, & the disabled
3. Labor Legislation
a. Wagner Act (1935) created National Labor Relations Board which guaranteed the right to join unions
b. Fair Labor Standards Act (1938) created America’s 1st minimum wage & maximum hour laws
III. Conclusions: The Effectiveness of New Deal Relief, Recovery, & Reform Efforts
The New Deal: Measures for Relief, Recovery, and Reform

THE NEW DEAL: RELIEF
BANK HOLIDAY: 6 March 1933 -- closed all banks; government then investigated banks and only those
that were sound were allowed to reopen.

FEDERAL EMERGENCY RELIEF ASSOCIATION [FERA]: 1933 -- gave direct relief in the form of
money as aid to states and localities for distribution to needy. Ultimately FERA distributed about $3billion in relief to 8 million families -- one-sixth of the population.

CIVIL WORKS ADMINISTRATION [CWA]: Money to states to build 225,000 miles of roads, 30,000
schools, and 3,700 playing fields and athletic grounds.

PUBLIC WORKS ADMINISTRATION [PWA]: Loans to private industry to build public works such as
dams, ports, bridges, sewage plants, government buildings, power plants, airports, hospitals, and other
useful projects.

FARM CREDIT ASSOCIATION [FCA]: 1933 -- helped the 40% of farms that were mortgaged by
providing low-interest loans (2.25% per year) through a Federal Land Bank for 50-year terms.

CIVILIAN CONSERVATION CORPS [CCC]: 1933 -- provided jobs and relocation for young men (1825) in rural settings under direction of U.S. Army. CCC workers built public parks, cut fire trails, planted
trees, built small dams, helped with flood control, reclaimed ruined land, drained swamps, and helped
with conservation.

HOMEOWNERS' LOAN CORPORATION [HOLC]: 1933 -- lowered mortgages to stop foreclosures.

THE NEW DEAL: RECOVERY
ABANDONMENT OF GOLD STANDARD: 1933 -- executive order by FDR making it easier for money
to get into circulation. Reconstruction Finance Corporation set new value of gold.

FEDERAL SECURITIES ACT [FSA]: 1933 -- allowed government to investigate stock market.

WORKS PROGRESS ADMINISTRATION [WPA]: 1933 -- established to put men to work on jobs of
public usefulness. 5,900 schoolhouses built or repaired; parks, playgrounds, and pools built; roads,
streets, and sewage plants built; 1,000 airfields laid out; 2,500 hospitals placed in areas not previously
served. WPA also had FEDERAL ARTS PROJECTS to provide jobs to continue dramas, concerts,
writing (guidebooks, local history books, oral histories), murals, and sculptures. These projects kept the
American arts alive and vigorous.

NATIONAL INDUSTRIAL RECOVERY ACT [NIRA]: 1933 -- created the NATIONAL RECOVERY
ADMINISTRATION [NRA], which administered process for devising industry-wide codes of fair
business practices. NRA's symbol was a blue eagle, slogan -- "We Do Our Part." The NIRA recognized
the right of labor to bargain collectively for working hours, wages, and conditions. The NRA was
declared unconstitutional by the Supreme Court in 1935 [Schechter Poultry Corp. v. United States] -- but
survived constitutional challenge.

AGRICULTURAL ADJUSTMENT ACT [AAA]: 1933 -- limited farm production to help raise prices; paid
for by taxing food processors. Declared unconstitutional by Supreme Court in 1936 [United States v.
Butler]. 1938 – the AAA II created surplus controls, farm insurance, and soil conservation districts.

NATIONAL YOUTH ADMINSITRATION [NYA]: 1935 -- helped keep youth in school with 500,000
helped in colleges and 600,000 in high schools provided with jobs.

FEDERAL HOUSING ACT [FHA]: 1934 -- helped repair, rebuild, and insure older homes.

THE NEW DEAL: REFORM
GLASS/STEAGALL ACT -- gave government power to investigate banking conditions, vested greater
regulatory powers in Federal Reserve Board.

FEDERAL DEPOSIT INSURANCE CORPORATION [FDIC] -- insured savings of bank depositors and
monitored soundness of insured banking institutions.

FEDERAL SAVINGS & LOAN INSURANCE CORPORATION [FSLIC] -- insured savings of depositors
in savings & loan institutions and monitored soundness of insured S&Ls.

SECURITIES AND EXCHANGE COMMISSION [SEC]: regulated stock and bond trading; regulated
exchanges where stocks and bonds are sold, and legislated requirements for disclosure of fair stock
information.

WAGNER ACT created NATIONAL LABOR RELATIONS BOARD [NLRB] which reaffirmed labor's
rights to bargain for wages, hours, and working conditions, to strike, and to arbitration of grievances.

FAIR LABOR STANDARDS ACT [FLSA]: 1938 -- set minimum wages and maximum working hours.

TENNESSEE VALLEY AUTHORITY [TVA] and RURAL ELECTRIFICATION AUTHORITY [REA]:
helped to bring electricity to rural "pockets of poverty" that could not afford lines.

SOCIAL SECURITY: Provided for unemployed, aged, dependent, and handicapped. Financed by FICA
taxes paid by employee, matched by employer and Federal government.
The New Deal Checklist
NEW DEAL PROGRAMS FOR BUSINESS AND LABOR
RELIEF
FERA
CWA
PWA
RECOVERY
WPA
NIRA/NRAN
REFORM
Wagner Act 7a NIRA
LRB/FLSA
Social Security
NEW DEAL PROGRAMS FOR FARMERS
RELIEF
FCA
Resettlement
CWA
PWA
RECOVERY
AAA I
AAA II
NIRA/NRA
REFORM
TVA
REA
NLRB
Social Security
NEW DEAL PROGRAMS FOR THE HOUSING MARKET AND HOMEOWNERS
RELIEF
LC
RECOVERY
FHA
REFORM
NHA
NEW DEAL PROGRAMS FOR BANKS AND THE STOCK MARKET
RELIEF
Bank Holiday
RELIEF
CCC
RECOVERY
Abandoning Gold Standard
FSA
NEW DEAL PROGRAMS FOR YOUNG PEOPLE
RECOVERY
NYA
REFORM
Glass-Steagall Act
FDIC/FSLIC
SEC
REFORM
Social Security