Election of 1932
• President Herbert Hoover
– Trickle Down
Vs
• Franklin Delano Roosevelt
– Pump-Priming
Election 1932
• Herbert Hoover– Trickle Down
• Franklin Deleano Roosevelt– Pump-Priming
• Who would you vote for?
Business Cycle
Economy during the 1920s
• 1923-29- Economic prosperity
– Inflation barely occurred
– Per capita income rose 30%
– Americans were buying more
– Gross National Product increased 40%
Setting the stage for Depression
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Mass production
Assembly line (jobs)
Consumerism
Land speculation
Buying on margin
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Overproduction
Unemployment
no $$$ to buy
Property values ↓
Stock market
collapses
Depression
• Massive unemployment causes many
people out of homes, leaves them hungry,
and with no options
• “Hoovervilles”- shanty-towns
found across the nation
• Young people didn’t marry/go to college
Stock Market Crash
• Black Thursday (Oct. 24, 1929)
• Black Tuesday (Oct. 29, 1929)
– Lost $14 billion in value
($30 billion in all)
• Examples– U.S. Steel -
Sept. 3, 1929- $262 a share
Nov. 13, 1929- $138 a share
– General Motors $73 to $8
Hoover’s Responses
• Rugged Individualism
• Encouraged businesses to maintain high wages
• Promote Charity
• Reconstruction Finance Corporation
– Loans to the states for public works and
unemployment relief
Bonus Army March
Bonus Army
• Who?
• What did they want?
• Did they get it?
• What was the outcome?
Hoover’s Controversial Response
Franklin Deleano Roosevelt
Early Political Career
• 1910- New York State Senate
– Reelected for second term in 1912
– Resigns March 17, 1913
• Appointed Assistant Secretary of the Navy
– By Woodrow Wilson (1913)
– Developed longtime affection for the navy
• Ran for Vice President in 1920
– Lost and retired to a New York law practice
Governor of New York
• 1928-1932
• Reform governor– New social programs
• Created relief programs
– Gathered advisors
1932 Presidential Election
• America was in the midst of the Great
Depression
– Unemployment raises to 25% (1 out of 4)
• “I pledge you, I pledge myself, to a new
deal for the American people”
– Creates “New Deal” concept of getting
America out of depression through social
programs
Presidential Election Electoral
Map 1932- FDR in Blue
Guess who is Hoover.
FDR’s 1st 100 Days
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Calls Special Session of Congress
Record amount of Legislation passed
New Deal Program divided into 3 Rs
Relief, Recovery, Reform
Relief- Immediate Relief- Bank Holiday, FERA
Recovery- Temporary Jobs- CCC, PWA, WPA, TVA
Reform- Permanent Changes- FDIC, SEC, SSA
Fireside Chats- Uses the radio to explain to the
American public what was going on
The Dust Bowl
Critics of the New Deal
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Huey Long
Dr. Townsend
The NAACP
Fr. Coughlin
Herbert Hoover
The US Supreme Court (Schecter Poultry
VS the USA (NRA nullified) and Butler vs
USA (AAA nullified)
FDR’s Court Packing Plan
• Add up to 6 justices on the Supreme Court
for every justice over the age of 70 who
didn’t retire
Was Obama the next FDR?