Germany’s Great Depression
(Unemployment)
{
Japan’s Great Depression
(Unemployment)
{
Great Britain’s Great Depression
(Unemployment)
{
United States Great Depression
(Unemployment)
{
FDR
Hoover
5
6
Roosevelt’s 100 days was very
successful….FDR and Congress
went to work providing for direct
relief, recovery and reform.

From March of 1933 to June of
1933, Roosevelt sent 15 proposals
to Congress and all 15 were

adopted
Congress and President tried
anything reasonable to overcome
the Great Depression.

100 days
Govt. programs which provided direct
relief to suffering Americans through
govt. spending………
NEW DEAL CARTOON





Renew democracy
Restore confidence in the banking
Stimulate economy
Social Engineers
Put people back to work.
Brain Trust
Restore self confidence
How? FDR’s 3 R’s
Relief:
ease suffering of the needy
Recovery: begin economic growth
Reform: help prevent future
economic crises
Finance: Baruch
Politics: Howe
Professors: Tugwell
Labor: Perkins Agriculture: Wallace
Interior: Ickes
Treasury: Morgenthau Jr.
FDRs Advisers and “Brain Trust”
• Series of radio addresses
by FDR
• 30 total between 1933 to
1944
• FDR used these to calm
American people down.
• CLICK on the radio to link
to hear the 1st chat on the
Bank Crisis
10
People w/d $$; banks fail
 “Banking Holiday”
 Emergency Banking
ReliefAct
 Fireside Chat
 Glass-Steagall Act


Creates the FDIC
Conservative
 An example of Recovery
and Reform

The Banking Crisis
Goals of New Deal Program
1. Relief
 Help people right away
2. Recovery
 Get the US out of the
Depression
3. Reform
 Make sure another
depression does not happen
12
New Deal: Relief







Federal Emergency Relief
Association (FERA)
Civil Works Administration (CWA)
Public Works Administration (PWA)
Civilian Conservation Corps (CCC)
Farm Credit Association (FCA)
Homeowners Loan Corporation
(HOLC)
Tennessee Valley Authority (TVA)
13
New Deal: Recovery
Works Progress
Administration (WPA)
 National Recovery
Administration (NRA)
 Agricultural Adjustment Act
(AAA)
 National Youth Administration
(NYA)
 Federal Housing Act (FHA)

14
New Deal: Reform
Federal Deposit Insurance
Company (FDIC)
 Securities and Exchange
Commission (SEC)
 Wagner Act (NLRB)
 Social Security

15
RECOVERY: Begin Economic Growth
AAA / 1933
Agricultural Adjustment Act
•Protected farmers from price drops and
over production..
• US Govt. Paid farmers (subsidies)
•not to grow wheat, cotton, corn, hogs,
rice, tobacco, dairy products
•AAA told farmers how much they
should produce
alphabet
{ Yay!
Rise in prices after
1933
 1933: $2 billion
 1935: $5 billion

Mixed Results
{ Boo!
Favored large
landowners
 Tenants &
sharecroppers kicked
off land
 S. Court finds AAA
unconstitutional in
1936
 Modified in 1936 and
1938

RECOVERY: Begin Economic Growth
NIRA / 1933
National Industrial Recovery Act
•Created NRA to enforce codes of
fair competition, minimum wages,
and to permit collective bargaining
of workers.
alphabet

Companies would cooperate
Set limits on production
 Prices
 Codes of fair competition


In exchange, labor would get
concessions
Max hours
 Minimum wages
 Collective bargaining

NRA: The Ideal
Codes poorly written
 Huge bureaucracy
 Large producers dominated codewriting process
 No enforcement mechanism to
enforce Section 7(A)
 Production actually decreased
 1935: Supreme Court declares it
unconstitutional

NRA: The Reality
RECOVERY: Begin Economic Growth
TVA / 1933
Tennessee Valley Authority
•Federal government built a
series of dams to prevent
flooding and sold electricity.
•First public competition with
private power industries.
alphabet
TVA MAP
alphabet
RELIEF:
Ease Suffering of the Needy
FERA / 1933
Federal Emergency Relief Act
Distributed $500 million of direct
aid to unemployed workers such
as food, clothing and grants of
money to cities.
Repaired bridges, built highways,
constructed public buildings
 W/I 30 days: 2.6 million men and
women employed
 1934: 4 million

Civil Works Administration
(CWA): 1933-34
alphabet
RELIEF:
Ease Suffering of the Needy
CCC / 1933 to 1942
Civilian Conservation Corps
•Sent 3 million young men to work camps
to build bridges, replant forests and other
conservation tasks.
•Develop job skills and improve
environment.
• Removed surplus of workers from cities,
provided healthy conditions for boys,
provided money for families.
Civilian Conservation Corps
32
alphabet
RELIEF:
Ease Suffering of the Needy
HOLC / 1933
Home Owners Loan Corporation
Prevented mortgage
foreclosures. US Govt. bought up
mortgages and refinanced them
so that homeowners could pay
their mortgages.
REFORM:
Prevent Another Depression
SEC / 1933
Securities and Exchange
Commission
Regulated stock market
and restricted margin
buying, and frauds.
alphabet
Criticisms of New Deal
US government and President too powerful
Violated laissez faire
Supreme Court declared NIRA and AAA
unconstitutional
Critics:
American Liberty League
Father Charles Coughlin
Dr. Francis Townsend
Huey Long
Deficit spending: Govt. spends $$$ to stimulate the
economy and help people even if it means US Govt.
goes into debt.
Welfare state----Created a population of Americans
who relied on the US Govt. to live
100 days
Liberty League

FDR had gone TOO FAR
with the New Deal.

Interfering with business
and peoples lives.

Government was taking
away freedoms from
Americans.
39
•Economic system based on
cooperation rather than competition
• Believes in government ownership
of business and capital
•Government controls production and
distribution of goods.
•Opposite of laissez faire and
capitalism
•A Roman Catholic priest.
•Radio Priest in Detroit Michigan.
•Criticized FDR in weekly radio
program.
•10 million listeners.
•Criticized FDR’s farm program
•Believed an international conspiracy of bankers
existed and FDR was influenced by them.
•He called for the nationalization of banks and utilities.
(US Govt. controls banks, Socialism)
•Fascist; Anti-Semitic overtones.
•He wanted the government to help
older citizens.
•Retired California Physician.
•Suggested a $200 per month
pension for people over 60.
•Open jobs for the younger
unemployed.
•Spending all $200 would also be required to boost
economic demand.
•Townsend Clubs created all over the nation.
•Influenced FDR’s creation of Social Security
Senator Huey Long



FDR was NOT doing enough
for the poor.
Long pushed his “Share Our
Wealth” program.
Take all income over
$1,000,000 to give:
 House
 Car
 Annual Salary
 For all Americans
44
The Second New Deal
& the Redefining of
Liberalism
{
1935-38
Emphasis on
 Social justice
 Social safety net
 Use the power of the govt to guarantee
economic security and welfare of old,
disabled and unemployed
 Welfare state

Second New Deal
REFORM:
Prevent Another Depression
Wagner Act / 1935
National Labor Relations Act
Reaffirmed labor's right to
unionize, prohibited unfair
labor practices, and created
the National Labor Relations
Board.
alphabet
1934: NIRA influence
 Industrial Unionism; anti-AFL


All workers in one industry should be in 1 union,
regardless of skill
John Lewis: walks out of AFL
 1936: Congress of Industrial Organizations



Women, blacks
Textiles, laundries, tobacco
Labor Militancy
Sit Down Strikes







Dec. 1936
GM Detroit plants
By Feb 1937: 17 GM plants
Female supporters sent
food/clothing
Ignored police and court
injunctions
Governor and federal govt
refused to intervene
GM relents; recognizes UAW
Memorial Day Massacre 1937
1937: 4700 strikes
 80% settled in favor of unions
 8 million union members (1932: 3
million)
 By 1941: 10 million included workers
of Little Steel

Unions win out
REFORM:
Prevent Another Depression
SSA / 1935
Social Security Act
It provided retirement
pensions, unemployment
insurance, aid to blind, deaf,
disabled, and dependent
children.
alphabet
Social Security
Act of 1935
54
Social
Security
Unemployment
Insurance
55
Old Age
Pension
Dependent
Families
+
Disabled

Classical Liberalism (Conservatives)
Individual liberty is foundation of
democracy
 Free market policies
 Weak govt


New Deal Liberalism (Liberals)

To preserve individual liberty, govt must
assist needy and guarantee basic welfare
of ppl
New Deal Liberalism
Works Progress Administration
Harry Hopkins
 110K public buildings
 600 airports
 500K miles of roads
 100K bridges
 2.1 million workers

WPA
{
•
•
•
•
•
Federal Writers Project
Federal Arts Project
Federal Music Project
Federal Arts Project
National Youth Administration
59
60
61
62
63
Court Packing….


The Supreme Court struck
down several New Deal laws as
unconstitutional (NRA and
AAA)
FDR wanted to increase the
size of the court from 9 to 15.

Would appoint justices who were
pro-New Deal

Minimum-wage law, Wagner Act
and Social Security Act upheld

Hurt FDR w/ southern
Democrats and conservatives
67
FDR and the Supreme Court
68
Keynesian Economics




John Maynard Keynes (British)
Govt intervention can smooth
out high and lows of business
cycle
Deficit spending
Manipulate interest rates and
money supply
Limits and Legacies of the
New Deal
Remake American capitalism (not to
be)
 Federal govt now a mediator b/w
competing interests
 Govt to intervene when necessary


Help/limit the power of groups
“The Broker State”
Not hostile, but not much to advance
them
 Reinforced patterns of discrimination


Less pay, less skilled jobs
“Black Cabinet”
 FDR not willing to lose support of
Southern Democrats

African Americans & the New
Deal
Not outright hostile but not much to
advance them
 Symbolic gestures
 Reinforced gender norms

Women and the New Deal
{ West
Received more
federal funding
 Agricultural pgms
 Public works
pgms


Water and power
{ South
Least developed
region of country
 Didn’t challenge
prevailing racial
norms
 TVA

New Deal in the West and South
Didn’t revive/reform economy
 Didn’t fully embrace govt spending
for recovery
 Didn’t end the Depression
 Didn’t alter the distribution of power
and wealth

New Deal Failures
Helped elevate new groups
 Contributed to economic
development of the West and South
 Increased regulatory functions of the
federal govt
 Created the basis of the federal
welfare state

New Deal Impact on Economy
FDR enhanced the power of federal
govt
 Presidency became the preeminent
center of authority
 Democratic Party domination
 American people had greater
expectations of govt

New Deal and American Politics
LEFT
No Govt
Anarchy
CENTER
Socialism
Democrat
Green Party
Communism
Radical
Liberal
Independent
Reform
Moderate
RIGHT
Republican
Conservative
KKK
Reactionary
Dictator
Fascist
The New Deal walked a tightrope between the extreme
positions of the left and right.
Critics would claim it was unconstitutional, socialism,
anti-laissez faire and went too far to the left.
Others would claim the New Deal didn’t go far enough
to the left……
Successes of New Deal
AMERICANS IN 1939 WHO WANTED THE NEW
DEAL TO CONTINUE WAS 55%….. 37%
REGARDED IT AS A BAD INFLUENCE AND
WANTED A NEW PRESIDENT…………...
Stimulated the economy
Put people back to work….
Improved morale and self-confidence of the people
US Govt’s. role changes and became directly involved
in helping people
WWII ended the Great Depression not FDR’s New Deal
100 days