Chapter 26 “New Deal”

1. Chapter 26“New Deal” "I pledge you, I pledge myself, to a new deal for the American people." FDR

2. Launching • Brain Trust • Corporate greed, Republican mismanagement and failed purchasing power • Relief- direct relief to people (unemployment) • Recovery- of the economy • Reform-legislation to change US

3. Emergency Banking Act-federal assistance to banks • Glass-steagall banking act- restricted speculation by banks and created FDIC • Unemployment- CWA, CCC, TVA • Industrial Recovery-NIRA to PWA and NRA (struck down in Schecter Poultry v. US exceeded Federal power) • Should Federal power have right to regulate commerce? Did executive branch take over legislative?

4. AAA- store surplus –rise in prices • Benefits distributed only to landowners, land for tenants usually cut out • Voided by supreme court-replaced by SC and DAA act • Broke despair, never achieved economic recovery

5. 2nd New Deal • Democrats increased their majorities in Congress. • progress failed to keep pace with public expectations. • Huey Long, Charles Coughlin, and Dr. Francis Townsend • push Roosevelt farther to the left in 1935. • greater regulation • long-term relief • The Social Security Act institutionalized a welfare state with a social insurance program for the aged, infirm, and dependent children. • The National Labor Relations Act gave a powerful boost to organized labor. Legislation also strengthened federal control over the private sector. • Roosevelt's 1936 reelection was built on a powerful coalition of the traditionally Democratic South, big city ethnics, and labor, and it reflected the wide impact of the New Deal on the American people.

6. Impact • Changed lives of all Americans (REA) • Irrigation • Electricity • Boulder dam completed

7. Limitations • African Americans • Marian Anderson-Af.Am. Singer • Mary Bethune-Black Cabinet, National Youth Admin. • FDR refused to sign anti-lynching laws- fear of southern dem votes • Discrimination in New Deal programs • Race riots • Loose jobs to whites • Lower wages • Segregation • Closed entirely to blacks • To fix- quota system

8. Indian Rights • 1924 Native Americans given full citizenship • Strengthened land claims • Govt. could not take lands that were set aside for Native Americans • Power to manage internal affairs • revolving credit program for tribal land purchases, for educational assistance, and for aiding tribal organization. • Diversion between tribal groups- good for functioning communal tribes bad if valued individualism, suspicion of govt. programs

9. Women • New deal agencies build female force-social workers, teachers etc. • Frances Perkins- Labor Secretary for FDR • Eleanor Roosevelt • Campaign for Roosevelt • Focus on aiding and protecting women not necessarily on employing them.

10. Rise of Organized Labor • AFL bound to skilled labor and organized on craft or skill- form CIO- unskilled labor • Labor unions increase numbers • Industry wide- mass production (Autos, rubber, electrical workers) • Sit –down GM • Memorial Day Massacre- Republican Steel Plant, 1937 Chicago • Clash with police 10 workers killed

11. End of New Deal • ended in 1936 • Court-packing bill angered the public and bolstered a conservative coalition of Republicans and rural Democrats. • FDR's effort to balance the budget in 1937 led to a deep recession, and his vindictive attempt to unseat opponents failed. ------------------------------------------------------------------ What did the New Deal do? • created mechanisms to compensate for future swings in the economy • modernized the presidency • established a limited welfare state • added new groups into the fold of democracy through "broker" politics • transformed the Democratic party into a dominant force in American politics.