ROOSEVELT AND THE NEW DEAL Chapter 10. FDR….1 st president to serve more than 2 terms!

ROOSEVELT AND THE

NEW DEALChapter 10

FDR….1st president to serve more than 2 terms!

Section 1: The First New Deal

• Polio• Democrat• In 1928, ran for gov of NY…won reelection• In 1933, became president

100 Days• Unemployment continued to rise during the GD.• Americans feared he would abandoned the gold

standard and reduce the value of the dollar• U.S. would have to stop exchanging dollar for gold.• Many decided to take the money out of the bank

and convert it to gold.• Across the country many people stood in lines to

withdraw their money• By 1933, 4,000 banks collapsed…in 38 states

governors declared bank holidays (closing the banks before bank ran out of business)

The New Deal Begins• Roosevelt wanted to end the GD; however, had

no idea how to end this period…• He depended on his advisers• He passed 15 acts to congress for approval….

This became known as New Deal.• On March 12, Roosevelt addressed the nation by

radio….60 million people listened to his first of many ‘fireside chats”

• He encourage people to have money in bank, the next days banks opened and people deposit their money back

FDIC and SECMortgage and Debt

Relief• Security and Exchange Commission (SEC)-

created to regulate stock market fraud.• Federal Deposit Insurance Corporation (FDIC)-

provide government insurance for bank deposit.• Home Owner’s Loan Corporation- helped those

who were late in their mortgage.• Farm Credit- help farmers to stay out of

bankrupcy

Relief Programs• Civilian Conservation Corps (CCC)- offered unemployment

young men 18-25 to work on forestry; such as planting trees, fighting forest fires….

• To prevent Dust Bowl planters planted about 200 million trees from north TX to North Dakota.

• The CCC lasted until 1942 putting about 3 million people back to work.

• After the CCC, Congress established the Public Works Administration (PWA), employed people to build school., highways….

• However, this did not reduce unemployment and the Civil Works Administration (CWA), was created to employed about 4 million people including 300,000 women….. Built/ improve 1,0000 airports, 40,0000 schools,3,500 playgrounds/parks…

Success of the First New Deal• 1st New deal did not restored prosperity but in

fact improve the economy…many people stayed at their farms/ homes

Section 2 The Second New Deal

• Pre. Roosevelt was very popular during the first two years in office

• His program created about 2 million new jobs but more than 10 million workers remain unemployed.

• Roosevelt started deficit spending, he abandoned a balanced budget and began borrowing money for his programs.

• However, he improved schools, colleges, hospitals, bridged….these improvements made him popular…..however he became corrupted.

WPA• 2nd New Deal:• WPA employed 8.5 million workers• One of the programs under WPA, Federal Number

One financed artists, musicians, theaters people and writers to create murals, sculptures for public b buildings….

Wagner Act• National Labor Relations Act (Wagner Act)-

guaranteed workers the right to unionize and bargain collectively.

• Also established the National labor Relations Board to determine if workers wanted to form and union.

• Under this act, sit-down strikes, employers stopped work inside the factory and refused to leave.

Social Security• SS act, provided some financial security for older

Americans, unemployed workers, and others.• Monthly retirement benefit people collected at

the age of 65.