Section #1: The New Deal
Section #2:
New Deal Critics
Section #3: End of the New Deal

Why did FDR call his program
Deal”?
“The New
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Explain the “3R’s” of the New Deal.
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FDR’s main focus with the New Deal?
In his First Inaugural Address what did FDR mean by “The only thing we have to fear is fear itself” ?
Explain: The Hundred Days
Why did the New Deal close banks?
What was Harry Hopkins belief in helping people find work?

1. Relief - Immediate action taken to halt the economies deterioration.
2. Recovery - "Pump - Priming"
Temporary programs to restart the flow of consumer demand.
3. Reform - Permanent programs to avoid another depression and insure citizens against economic disasters.

Section #1 cont.
Federal Emergency Relief
Administration (FERA)

Sent funds to to agencies.

Public Works Program
 CWA?
 CCC?
National Industrial
Recovery Act (NIRA)

NRA = National Recovery
Administration
 Spell out fair practices

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Regulate wages, working conditions, production, prices.
Minimum wages & collective bargaining

PWA = Public Works
Administration
 Harold Ickes; Sect. Of
Interior
 Building projects
Homes & Farms

HOLC?
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June 1933 – June
1936 = one million low interest loans.
AAA = Agricultural
Adjustment
Administration

TVA?
Personnel
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Name women!
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Brain Trust?
African Americans
Eleanor Roosevelt

Section #1 Cont.
Agency
Civilian Conservation Corps
(CCC)
Works Progress
Administration (WPA)
Public Works Administration
(PWA)
National Recovery
Administration (NRA)
National Labor Relations
Board (NLRB)
Federal Deposit Insurance
Corporation (FDIC)
Purpose
Provided jobs to young, unmarried men (and later, women) to work on conservation and resource development projects.
Gave the unemployed work in building construction and arts programs.
Sponsored massive public works projects such as dams and hydroelectric plants.
Worked with industries to establish codes outlining fair business and labor practices.
Enforced provisions of the Wagner Act, which included the right to collective bargaining and other union rights.
Insured bank deposits up to $5,000.
Securities and Exchange
Commission (SEC)
Regulated the stock market and protected investors from dishonest trading practices.
Agricultural Adjustment
Administration (AAA)
Social Security Administration
(SSA)
Attempted to raise farm prices by paying farmers to lower farm output.
Provided old-age pensions, disability payments, and unemployment benefits.

Section #1 cont.
The Second New Deal

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More social welfare benefits, stricter controls over business, stronger support for unions, and higher taxes on the rich.

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WPA provided work for more than 8 mill.

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Playgrounds, airports, hospitals ect.
Supported artists and writers.
FSA loaned more than $1 billion to farmers and set up camps for migrant workers.
Wagner Act

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July 1935, Sen. Robert Wagner: legalized practices allowed only unevenly in the past. Ex. Collective bargaining.
Outlawed spying on union activities.
Social Security system
 Provided security to people who could not support themselves.

Old Age pensions and survivors’ benefits.
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Unemployment insurance
Aid for dependent children and handicapped.

Section #1 cont.
1936 Election
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FDR defeats Rep. Governor Alfred M.
Landon from Kansas
FDR loses only two states.
 Maine & Vermont
Landslide victory winning the electoral college 523 – 8.
Shows that Americans support the
New Deal.

Section #2:
“The New Deal Critics”, Limitations…
Women

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NRA codes permitted lower wages for women’s work.
Jobs went to male “head of families”.

14-hour days for $6.50 per week.
African Americans

Fed. relief programs (PWA) reinforced segregation.

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Not offered jobs at a “professional” level.
Received lower pay than whites.
Social Security failed to cover 2/3 of African
Americans.
In the North: “Last hired, first fired.”
“Don’t shop where you can’t work!”
Fed offered no relief to lynchings.
 Anti lynching bills went down to defeat in 1935 & 1938.
FDR did appoint more African Americans to policymaking posts than any President.

Section #2 cont.
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Republicans believed the New Deal went too far.
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Wealthy regarded FDR as their enemy.
Considered programs (TVA) as socialist.

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Second New Deal brought higher taxes to the rich
(Revenue Act of 1935 or the Wealth Tax Act).

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Raised the tax rate on individual incomes over $50,000.
Increased rates on incomes and profits of corporations.
Social Security????
Progressives and Socialist don’t believe the New Deal does enough.
 Upton Sinclair & Robert LaFollette, Jr. = redistribution of wealth.
Father Charles E. Coughlin & Huey Long: demagogues

Section #2 cont.

Supreme Court frustrated FDR.
 Invalidated the NIRA, AAA, and many state laws.
 Feb. 1937 proposed a major court reform bill: lighten the burden on the justices.
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Could appoint up to six additional justices.
9 justices had become well established since
1869.
Wanted to “pack” the court with judges favorable to the New Deal.
Violation of Separation of Powers?

The New Deal did not end the nation’s suffering, but it did lead to some profound changes in
American life.
Voters began to expect a President to formulate programs and solve problems.
Unfortunately there was The Recession of 1937

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Industrial production once again fell, as well as employment levels.
The new Social Security tax was partly to blame
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FDR also cut back on the WPA program
The national debt rose from $21 billion in 1933 to $43 billion by 1940.

The Wagner Act (1935) provided federal protection unions.
Union membership rose from
3 million in 1933 to 10.5 million by 1941.
The CIO (Congress of
Industrial Organizations) was est. by John L. Lewis.
The aim of this organization was to challenge conditions in industry, and their main tool was the strike.

Due to the Wagner Act, many unions went on strike.
Several strikes included “Sit-down” strikes. Where the employees would not leave the building, they would simply sit down and refuse to work.
The most famous sit-down strike began on Dec. 31,
1936. The UAW (United Auto Workers) occupied
GM’s main plant in Flint, Michigan.
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GM executives turned off the heat and blocked entry to the plants so that the workers could not receive food.
Violence erupted outside with the picketers.
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Many wives were able to get food in to their husbands and later GM finally gave in to negotiations.

The WPA supported unemployed artists, musicians, historians, theater people, and writers. In 1935, the program was called, “The
Federal Writers’ Project.”
In the end, 10,000 artists painted some 2,000 murals, 100,000 other paintings, 17,000 sculptures, and many other works.

Many NEW DEAL bridges, dams, tunnels, public buildings, and hospitals stand to this day.
The Tennessee Valley Authority remains a model of government planning.
The Federal Deposit Insurance Corporation
(FDIC) still guarantees bank deposits.
The the workings of the stock exchange.
(Martha Stewart!)
Social Security is still around, though many worry if it will be available for you and your children.

Of all of its achievements, perhaps the
New Deal’s greatest was to restore a sense of hope!
What finally brought the U.S. out of the
Great Depression?
So, time for Unit 7 Test! (Ch 21-23)