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New Deal Chapter 15

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New deal chapter 15

New DealChapter 15

Section 1 – The New Deal Fights the Depression

Section 2 – The 2nd New Deal Takes Hold

Section 3 – The New Deal Affects Many Groups

Section 4 – Culture in the 1930’s

Section 5 – The Impact of the New Deal

America is ready for a change election 1932

America is Ready for a Change Election 1932

  • Franklin D. Roosevelt

    • Democratic Candidate

  • Herbert Hoover

    • Republican Incumbent

Roosevelt has a long history in government

Roosevelt Has A Long History in Government

  • Distant Cousin to Theodore Roosevelt

  • Assistant Sec. of Navy in the Wilson Adm.

  • Vice Presidential Candidate with Cox in 1920

  • Governor of New York

    • Good Record Concerning the Depression

    • One of the 1st Governors to support direct relief by the states and unemployment insurance

Roosevelt s platform

Roosevelt’s Platform

  • New Deal for the American People

    • Relief for the Needy

      • Old Age and Unemployment Insurance

      • Federal Relief

    • Economic Recovery

      • Crop Controls

      • Lower Tariffs

      • Government and Business Work Together

    • Financial Reform

      • Stock Market Regulation

No contest

No Contest

Hoover Flags

Hoover Blankets

  • Hoover addresses a large crowd in his 1932 campaign.

  • Hoover’s image was very bad and during the campaign he constantly had to defend his record.


Election of 1932

Election of 1932

Lame duck presidency an unfortunate wait

Lame Duck Presidency“An Unfortunate Wait”

  • It would be 4 months before FDR would take office.

  • Why?

  • In that time there was an assassination attempt made on FDR.

20 th amendment

20th Amendment

  • Known as the “Lame Duck Amendment”

  • February 1933

  • Changes dates for Congress and Presidential Inauguration

    • Congress goes from March 4 to January 3

    • President goes from March 4 to January 20

Fdr takes office

FDR Takes Office

Listen to FDR Address the Nation:

1 st hundred days

1st Hundred Days

Listen to Roosevelt’s Speech:

  • Roosevelt sets to work immediately and calls for a special session of Congress for March 9th.

  • FDR and Congress will keep their nose to the grindstone to try to do something for everyone.

1 st hundred days1

1st Hundred Days

  • Banking

  • Stock Market

  • Unemployment

  • Public Works

  • Agriculture

  • Industry

Reform and Help For:

Americans panic

Americans Panic

  • In the months before FDR took office many banks had taken “Bank Holidays” to save their banks. This caused “Runs” on banks and widespread panic, as well as a lack of confidence in America’s banking system.

  • People began to withdraw any money they had in gold and hoard it at home.

Banking reform

Banking Reform

  • FDR declares a “National Bank Holiday from March 6-9.

  • Stops export of all gold, silver, and currency

  • March 9 FDR pushed congress to pass the following act to help banks. (It took 40 minutes.)

    • Emergency Banking Relief Act

Emergency banking relief act

Emergency Banking Relief Act

  • 1. Gave the President power over banking

  • 2. Established to help reorganize banking

    • Banks were divided into catagories

      • 1st – Banks with 90% of all money, about ½ of all banks were reopened on March 15th

      • 2nd – Weaker banks could only pay out some money to account holders

      • 3rd – Weakest banks to survive couldn’t pay out to account holders but could only take deposits

      • 4th – 1000 small banks were closed

Economy act

Economy Act

  • March 10

  • Balance the Budget

    • Cut salaries of government employees

    • Cut pensions and allowances to veterans (later rescinded)

    • Reorganization of Government

Fireside chats

Fireside Chats

  • March 12

  • FDR gives his 1st “Fireside Chat” to explain the banking act and calm the public.

Listen to FDR Address the Nation:

New deal programs

New Deal Programs

Federal securities act

Federal Securities Act

  • Gives the Federal Trade Commission the power to police all new stocks and bonds

  • Required that new stock be accompanied by certain information

  • FTC could police the Stockbrokers

  • May 1933

Securities and exchange act june 1934

Securities and Exchange ActJune 1934

  • Set up to regulate trading in securities in the stock market

  • Set up the Securities and Exchange Commission (SEC)

  • Gave it the power to license securities exchanges – places where stocks and bonds are bought and sold

  • Gave the Federal Reserve Board the power to regulate the money supply used to finance the trading of securities

    • Control the “Margin Requirement” – amount of money an investor must put up when making a purchase

    • Higher margin requirements cuts down on speculation

  • Prevent people with inside information about companies from “rigging” the stock market for their own profit – called “Insider Trading”

Communications act

Communications Act

  • Sets up the Federal Communications Commission (FCC)

  • Regulates radio, telegraph, and cable communication both interstate and foreign

Glass steagall act 1933

Glass-Steagall Act1933

  • Removed banks from investments business

  • Restricted the use of banking funds for speculation

  • Created the FDIC (Federal Deposit Insurance Corporation)

    • Guaranteed individual bank deposits under $5,000

    • Today it is guaranteed up to $250,000 (2011).

Agricultural adjustment act

Agricultural Adjustment Act

  • Reduce Production to Raise Crop Prices

  • Pay farmers to leave a certain amount of land unseeded.

  • Some crops were already to developed so the government paid farmers to destroy crops

  • Paid hog farmers to kill hogs

  • Finance payments to farmers by taxing people who process farm products

Criticism of the aaa

Criticism of the AAA

  • Destruction of crops and livestock while people are going hungry

  • Benefit Big Landowners and Not Small Farmers

Farmers receiving AAA payments in 1939.

Tennessee valley authority

Tennessee Valley Authority

  • Development of the Tennessee Valley with a systems of dams

    • Hydroelectric Power

    • Flood Control

    • Erosion Control

    • Distribution and Production of Fertilizer

    • Recreational Areas

    • Employment

  • Impacts a 7 State Area

    • See page 520

Civilian conservation corps

Civilian Conservation Corps

  • March 1933

  • CCC provides unemployment relief

  • 1st of the relief agencies

  • Organized under the Dept. of Labor, Forestry Office, and the Army

A CCC pillowcase on display at the CCC Museum in Michigan.

New deal chapter 15


  • Recruited unemployed young men between 18-25 for work in

    • Forests for fire towers and fire control

    • Farm country for soil conservation

    • River valleys for flood control by building levies and dams

    • Road building and parks and recreation maintenance

  • Paid $30 month of which the men kept $5 and $25 was sent home to family

  • By 1941 – 2.5 million young men had served

New deal chapter 15

CCC In Action

Planting Crops

Clearing Land

Fighting Fire

Federal emergency relief adm

Federal Emergency Relief Adm.

  • FERA created in May 1933

  • Harry Hopkins – Administrator

  • Initial Appropriation of 500 million

  • Provides Grants to states for unemployment relief.

    • Federal Funds $1 for $3 from the states

  • Didn’t immediately meet the needs of the unemployed so a temporary administration was created to help unemployed workers.

    • Civil Works Administration

Civil works administration cwa

Civil Works AdministrationCWA

  • Created public jobs to help the unemployed during the winter of 1933-1934.

  • Most were unskilled workers and the jobs were simple.

    • Raking leaves

    • Picking up trash

    • Sweeping streets

    • Road maintenance

  • 4 million people employed

  • Built 40,000 schools

  • Paid 50,000 teachers

  • Critics felt it was just make-work and a waste of money

National industrial recovery act

National Industrial Recovery Act

  • Created June 1933

  • Harold Ickes – Administrator and Sec. of the Interior

  • National Recovery Administration (NRA)

    • Set codes of fair practice, working conditions, wages, and work hours

    • Promised labor rights to organize and bargain collectively

    • Symbol is the Blue Eagle

Public works administration

Public Works Administration

  • Construction of public buildings, schools, dams, bridges, roads, hospitals, airports, etc.

  • Critics felt it was just make-work and a waste of money

Help for housing needs

Help for Housing Needs

  • Home Owners Loan Corporation

    • Provide government loans to homeowners who faced foreclosure

  • National Housing Act

    • Created the Federal Housing Administration (FHA)

    • Continues today to provide loans for home mortgages and repairs

The supreme court reacts

The Supreme Court Reacts

  • Court strikes down the NIRA

    • NIRA had given too much power to the executive branch

    • Codes governed Intrastate commerce and Congress can only oversee Interstate commerce

  • Court strikes down the AAA

    • Processing tax was unconstitutional because it was taxing one specific group to benefit another

Roosevelt vs the supreme court

Roosevelt vs. the Supreme Court

  • Supreme Court consists of ? Members.

    • Nine

    • Serve for Life

  • 4 justices usually voted for New Deal Programs

  • 4 justices were very conservative and voted against New Deal Legislation

  • 1 justice often voted with the conservatives

Fdr s plan to reorganize the court

FDR’s Plan to Reorganize the Court

  • Arguments

    • Nine men were too old to keep up with the case load

  • Plan

    • FDR would appoint 1 justice for each one who failed to retire at the age of 70

    • # of Justices would increase from 9 to 15

Political mis step for roosevelt

Political Mis-step for Roosevelt

  • Critics Say

    • President is trying to stack the court with liberal judges who will support the New Deal

    • It would give the President too much power and take away the independence of the Supreme Court

    • It would go against the theory of Constitutional Government

Court packing bill fails

Court Packing Bill Fails

  • One justice retires allowing FDR to appoint a liberal judge

  • Court proved they were not behind

  • Court softened its position on other New Deal Programs and upheld them WHY?

    • May have adopted a more liberal stance to save itself

    • OR the bills coming before the court were better constructed than those in the earlier years

  • Main supporter of the bill in Congress died

Packing the supreme court

Packing the Supreme Court

New deal critics

New Deal Critics

Critics of the new deal

Critics of the New Deal

  • Conservatives

    • American Liberty League (the Far Right)

      • Apposed to Government intervention in Business and the Economy

    • Fascists

      • Fascism – political philosophy that holds the individual 2nd to nation and race

      • Advocates government by dictatorship

      • Private ownership of land and capital but economic activity is controlled strictly by the state

      • Doesn’t think the New Deal goes far enough in controlling the economy

      • Fascism on the rise in Europe with Mussolini in Italy and Hitler in Germany

  • Liberals

    • Communists

      • Communist don’t like FDR helping the poor because then they won’t want to overthrow capitalism

Huey p long

Huey P. Long

  • Senator and Governor of Louisiana

  • “Kingfish” nickname taken from the

    Amos and Andy Radio Show

  • Long was very corrupt

  • Worked his way up the political ladder

  • Had is eye on the Presidency in 1936 / 1940

  • “Share Our Wealth Plan”

    • Promised “Every Man A King” who would own a house, a car and a radio

    • Guarantee every family a minimum annual income of $5,000

    • Pay for the plan by taxing the income, property, and inheritance of the wealthy

Dr francis townsend

Dr. Francis Townsend

  • Townsend Plan

    (a.k.a. Old Age Revolving Pension Plan)

    • Federal monthly pension of $200 to people over 60, but they must spend the full amount each month.

      • Keep money in circulation

      • Help the older people

    • Tax on Commercial Transactions

Townsend supporters rally in Columbus, Kansas in May 1936.Library of Congress Photo, LC-USF34-004168-E DLC

Father coughlin the radio priest

Father CoughlinThe Radio Priest

  • Radio station called “The Shrine of the Little Flower”

  • At first he supported FDR, but broke away when he felt Roosevelt wasn’t controlling big business enough.

  • National Union of Social Justice

    • For Social Reform

    • Supported Silver Inflation

    • Against

      • Bankers

      • Jews

      • Communists

      • Labor Unions

      • New Deal

  • Appealed to Populist in the Midwest

    and Irish Catholics in the large cities

  • Audience of 40-45 million

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