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FRANKLIN D. ROOSEVELT AND THE NEW DEAL. America: Past and Present Chapter 26. The Great Depression. 1920s optimism drives increase in expectations of a better way of life After 1929 despair sets in. The Great Crash. 1928--soaring stock prices attract individual, corporate investment

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franklin d roosevelt and the new deal

FRANKLIN D. ROOSEVELT AND THE NEW DEAL

America: Past and Present

Chapter 26

the great depression
The Great Depression
  • 1920s optimism drives increase in expectations of a better way of life
  • After 1929 despair sets in
the great crash
The Great Crash
  • 1928--soaring stock prices attract individual, corporate investment
  • 1929--stock market crashes
    • directly affects 3 million
    • credit crunch stifles business
  • Businesses lay off workers
  • Demand for consumer goods declines
effects of the depression
Effects of the Depression
  • Hardship affects all classes
  • The middle class loses belief in ever-increasing prosperity
  • Thousands of young homeless, jobless
fighting the depression
Fighting the Depression
  • Republican attempts to overcome catastrophe flounder
  • Depression gives Democrats opportunity to regain power
hoover and voluntarism
Hoover and Voluntarism
  • Hoover initially seeks solution through voluntary action, private charity
  • Eventually aids farmers and bankers
  • Resists Democratic efforts to give direct aid to the unemployed
    • perceived as indifferent to human suffering
    • programs seen as incompetent
the emergence of roosevelt
The Emergence of Roosevelt
  • Franklin Roosevelt
    • born to wealth and privilege
    • 1921--crippled by polio
    • 1928--elected governor of New York
    • talented politician
  • 1932--defeats Hoover with farmer- worker-immigrant-Catholic coalition
the hundred days
The Hundred Days
  • Banking system saved from collapse
  • Fifteen major laws provide relief
  • New Deal aims to reform and restore, not nationalize, the economy
roosevelt and recovery
Roosevelt and Recovery
  • National Recovery Administration
    • industries formulate codes to eliminate cut-throat competition, ensure labor peace
    • codes favor big business, unenforceable
    • 1935--NRA ruled unconstitutional
  • Agricultural Adjustment Act of 1933
    • farmers paid to take land out of cultivation
    • prices increase
    • sharecroppers, tenant farmers dispossessed
roosevelt and relief
Roosevelt and Relief
  • 1933--Harry Hopkins placed in charge of RFC to direct aid to unemployed
  • 1933--Civilian Conservation Corps provides employment to young people
  • 1935--Works Progress Administration place unemployed on federal payroll
  • Programs never sufficiently funded
roosevelt and reform
Roosevelt and Reform
  • 1933-34--focus on immediate problems
  • 1935--shift to permanent economic reform
challenges to fdr
Challenges to FDR
  • Father Charles Coughlin advocates nationalizing banks, anti-Semitism
  • Francis Townsend calls for wealth redistribution from young to the elderly
  • Huey Long calls for redistribution of wealth by seizing private fortunes
social security
Social Security
  • 1935--Social Security Act passed
  • Criticisms
    • too few people would collect pensions
    • unemployment package inadequate
  • Establishes pattern of government aid to poor, aged, handicapped
labor legislation
Labor Legislation
  • 1935--Wagner Act
    • allows unions to organize
    • outlaws unfair labor practices
  • 1938--Fair Labor Standard Act
    • maximum hour
    • minimum wage
impact of the new deal
Impact of the New Deal
  • Had a broad influence on the quality of life in the U.S. in the 1930s
  • Helps labor unions most
  • Helps women, minorities least
rise of organized labor
Rise of Organized Labor
  • 1932--National Recovery Act spurs union organizers
  • Congress of Industrial Organization (CIO) formed by John L. Lewis
  • CIO unionizes steel, auto industries
  • 1940--CIO membership hits 5 million, 28% of labor force unionized
the new deal record on help to minorities
The New Deal Record on Help to Minorities
  • Crop reduction program allows whites to fire or evict blacks, Hispanics
  • Public works programs help by providing employment
  • New Deal figures convince minorities that the government is on their side
  • 1934--Indian Reorganization Act gives American Indians greater control
women at work
Women at Work
  • Position of women deteriorates in ‘30s
    • jobs lost at a faster rate than men
    • hardly any New Deal programs help
  • Progress in government
    • Frances Perkins, Secretary of Labor, the first woman cabinet member
    • women appointed to several other posts
    • Eleanor Roosevelt a model for activism
end of the new deal
End of the New Deal
  • 1936--New Deal peaks with Roosevelt’s reelection
  • Congress resists programs after 1936
the election of 1936
The Election of 1936
  • FDR’s campaign
    • attacks the rich
    • promises further reforms
    • defeats Republican Alf Landon
  • Democrats win lopsided majorities in both houses of Congress
  • FDR coalition: South, cities, labor, ethnic groups, African Americans, poor
the supreme court fight
The Supreme Court Fight
  • Supreme Court blocks several of FDR’s first-term programs
  • 1937--FDR seeks right to "pack" Court
  • Congressional protest forces retreat
  • FDR’s opponents emboldened
the new deal in decline
The New Deal in Decline
  • 1936--cutbacks for relief agencies
  • 1937--severe slump hits economy
  • Roosevelt blamed, resorts to huge government spending
  • 1938--Republican party revives
the new deal and american life
The New Deal and American Life
  • New Deal’s limitations
    • depression not ended
    • economic system not fundamentally altered
    • little done for those without political clout
  • Achievements
    • Social Security, the Wagner Act
    • political realignment of the 1930s