The First 100 Days--Restoring the Nation's Confidence FDR relied heavily on his "brain trust" of professionals, academics, and politicians. It was bipartisan.

The First 100 Days--Restoring the Nation's Confidence• FDR relied heavily on his "brain trust" of professionals,

academics, and politicians. It was bipartisan (both parties). His brain trust and his wife, Eleanor, shaped much of the New Deal.

Emergency Banking Bill and the Bank Holiday--dealt w/ the #1 crisis– Gave FDR power to close all banks – He re-opened banks that were sound– Kept those who were unable to pay people closed.– This restored the people’s confidence in the bank

Fireside Chats – Beginning eight days after becoming president, Roosevelt addressed the nation three to four times a year in 15 – 45 minute speeches. Reassured the nation and established relationship w/ the people.“I loved the way your husband used to speak to me.”- Mrs. Todd to Eleanor Roosevelt

The New Deal

Franklin D. Roosevelt

The Three R’s•Relief: To help people cope with the depression

•Recovery: To help end the depression.

•Reform: To prevent future economic problems

The Stock Market Crash

•Buying “on Margin”

•Insider Trading

•Over-valuing of stock

SolutionFederal Securities Act

Reform

Problem

Securities and Exchange Commission set up to enforce new government regulations of stock market.

Solution“Bank Runs”

Glass-Steagall Banking Act creates the Federal Deposit Insurance Corp.

Emergency Banking Relief Act & Bank Holiday

Reform

Relief

Problem

Lack of Consumer Confidence in Banking System

Problems Solution“Hoovervilles”

People Can’t Afford Housing

Federal Housing AdministrationRelief/Recovery

Low demand for goods & services

Problem SolutionDust Bowl Farm Security Administration

Camp for Dust Bowl Refugees

ReliefDroughts in Mid-West cause

storms and ruin crops.

Problem SolutionAgricultural Adjustment Act

Farmers received subsidies in exchange for limiting production.

Overproduction

Overproduction of farm goods led to low prices. Some

farmers protested by dumping crops or burning them for fuel.

Recovery and Reform

ProblemsMassive Unemployment Extreme Poverty

•1/3 of population unemployed

•Families can’t pay rent

•Thousands migrate in search of better conditions

•Hunger & even starvation

SolutionsCivilian Conservation Corps (CCC)

CCC Workers Build Fence in Greene, NY

Young people were given jobs doing conservation & recreation related projects. Local examples include some of the pavilions at Chenango Valley State Park.

Relief

SolutionsPublic Works Administration

Put people to work building bridges, dams, power plants, and government buildings. These projects, like the Triborough Bridge in NYC, also improved the nation’s infrastructure.

Recovery

Problem SolutionFactory Closings Cause

UnemploymentNational Industrial

Recovery Act

Required industries to create codes regulating wages, hours, working conditions, & prices. It was designed to promote recovery by ending wage & price deflation.

Recovery

Problems Solution•Underdevelopment of South

•High Unemployment

Tennessee Valley Authority (TVA)

TVA builds damns to provide electricity to rural South.

Construction and operation also provides work for unemployed.

Relief and

Reform

Everyone’s A Critic • The Right Says “Too Much” Government

Power– American Liberty League

• The Left Says “Not Enough” – Francis Townsend

• California Doctor; Fed government should provide $200 month to ppl 60+.

– Charles Coughlin• Roman Catholic Priest• FDR “out-Hoovered Hoover” • Nationalization of industry, but against

communist…so he was a fascist! Also anti-Semitic and pushed off the air.

– Huey Long • Louisiana Senator• “Share our Wealth” program—high taxes on the

wealthy and large corporations, with the $ to be given to poor Americans.

Senator Huey Long

The Second New Deal• Beginning in 1935 (year before elections)—

address continuing issues of the Great Depression

• Federal government needed to “promote the general welfare”

• Keynesian Economics—government spends money to put people back to work (even going into debt) (John Maynard Keynes)

• Addressed issues of– The poor, the elderly, the unemployed, and LABOR!

Solutions: UnemploymentWorks Progress Administration (WPA)

Federal Theater Project

WPA Artist Sketches WPA Workers

Puts people to work on government projects.

Led by Harry Hopkins

Both manual and intellectual projects.

Federal Writers Project (Including Historians!)

Artists Paint Post Office Murals

Recovery

New Deal and Art

Problems SolutionSocial Security Act

Men signing up for social security.

•Old Age Pensions

•Aid to women & children

•Aid to Disabled

•Encouraged states to provide matching benefits.

Poverty among elderly & disabled.

Relief

Problems Solution•Underdevelopment of Plains

•Drought in the West Rural Electrification Administration (REA)

Water management projects in the West, like the Bonneville Dam in the Pacific

Northwest

REA brought electricity to rural areas.

Construction and operation also provides work for unemployed.

Relief and

Reform

Problem SolutionLabor Disputes

A Sit-down Strike

National Labor Relations Act (Wagner Act)

Fair Labor Standards Act

1) Guaranteed workers the right to bargain collectively and form unions w/out fear of punishment from management.

2) Established minimum wage and maximum workweek, outlawed child labor

Reform

The Supreme Court Opposes the New Deal

• 1935 Schechter poultry v. United States : Ruled the NIRA was interfering with interstate commerce and was unconstitutional.

• This causes programs under the NIRA to be dropped as well.

• The Court rules against the AAA also.• FDR feels the need to act before other

NEW DEAL programs fall.

“Court Packing” Scheme• February 1937 (p. 490)• FDR wanted to add 6 more members to the Supreme

Court (total = 15); FDR would add these members, meaning they would support New Deal programs

• If Congress approves to up the # of Justices then FDR would basically gain “total” control of our government

• The Court rules in favor of some NEW DEAL cases which convinces Congress not to increase the # of Justices.

• FDR is hurt politically—people are more willing to take him on

• 1937 economic downturn makes things even worse to FDR when he cuts back on economic spending

• Republicans pick up more seats in the house and Senate—New Deal is on the decline….

Court Packing Cartoons—see handout!

Effects of the New Deal

• Objectives– Describe how the New Deal affected different

groups in American Society (which groups?)– Analyze how the New Deal changed the

shape of American politics – Discuss the impact of FDR on the presidency

Workers Use Their Newfound Rights

• See comic book handout!• AFL was for skilled workers only• John L. Lewis, leader of the United Mine

Workers, forms the Congress of Industrial Organizations (CIO)—open to minorities and lower-paid workers

• CIO affiliate the United Automobile Workers (UAW) staged sit-down strike in 1936 and after 44 days won a settlement with GM

• Sets unions up for more success.

New Deal and Women

• Some women, like Eleanor Roosevelt and Labor Secretary Frances Perkins, had political influence– Eleanor was “First Lady of Main Street”—

loved by the people and champion of many causes

• Some job programs did not help women; New Deal did not end gender discrimination

New Deal and African Americans

• Blacks make gains though hit harder by the depression; >50% unemployed

• The Black Cabinet; made up of male and female Black leaders, advised FDR

• Eleanor stronger on civil rights issues than FDR• FDR didn’t always follow their advise• He refused to support an “Anti-Lynching Law…

Why? Was FDR a racist? (p. 494)• New Deal programs fell short—paid African

American workers less, etc.

New Deal and Native Americans

• “Indian New Deal”—John Collier • The Indian Reorganization Act countered the

Dawes Act and gave tribal autonomy over their lands

• Provided funding for the building of schools & hospitals, Indian CCC.

• Indian culture and religion was encouraged• Some programs had a negative effect (see 495)

The New Deal Creates a New Political Coalition

• New Deal Coalition —brought together southern whites, northern blue-collar workers, poor midwestern farmers, and African Americans (FDR=better option)– What party had African Americans previously

voted for?

• Also brought together immigrant communities through federal government projects

The Role of Government Expands

• Larger Role in the Economy—less laissez-faire; fed government had to do something to get the economy working and to regulate business (FDIC, SEC, etc)

• Welfare State—government assumes responsibility for providing for children and the poor, elderly, sick, disabled, and unemployed

• Restoring the Environment—Dust Bowl, national parks

• Role of the Presidency—FDR and his close relationship with the American people; FDR as dictator (?) 22nd Amendment=limits to 2 terms