SSUSH18A thru E
A New President and A New Deal
A New President and A New Deal
Who was FDR?
• 1882: Franklin Delano Roosevelt was born into a Wealthy
New York Family.
• He grew up in an atmosphere of privileged society.
• He attended an Episcopal Boarding School in Massachusetts.
• He learned to speak German & French during trips to Europe.
• 1903: He graduated from Harvard University in Mass.
• 1904 – 1907: He attended Columbia University Law School.
• 1907: He passed the New York State Bar (Licensed Attorney).
• 1905: He married his 5th Cousin – Eleanor Roosevelt.
• Her Uncle, Teddy Roosevelt, gave away the Bride.
• 1910-1913: He served in the New York State Senate.
He Opposed the Bosses of Tammany Hall.
A New President and A New Deal
Who was FDR?
• 1913-1919: He served as Assistant Secretary of the Navy.
He Founded the United States Naval Reserve.
• 1920: He ran for Vice-President against Pres. Warren G. Harding’s Election.
• 1921: He contracted Polio, which resulted in Paralysis.
• 1926: Purchased Resort in Warm Springs, Ga.
Spent years using Hydrotherapy.
• 1929-1932: He served as the Governor of New York.
A New President and A New Deal
Becoming President
• 1932: Franklin Delano Roosevelt ran for President.
“I Pledge You, I Pledge Myself to a New Deal. This is
more than a Political Campaign. It is a Call to Arms!”
• He called for abandoning the Gold Standard, reducing the
value of the dollar to fight the recession.
• He also felt to Repeal Prohibition meant bringing in needed Tax Revenues.
• Although FDR won the Presidential Election by a landslide:
• 4,000 had Banks Collapsed and 1/4 were Unemployed
“Let me assert my firm belief that the only thing
we have to fear is fear itself”
• During his inauguration, FDR stated:
A New President and A New Deal
The First New Deal
• President Roosevelt’s first Hundred Days were focused on
a Strategy of Immediate Relief.
• He established a Brain Trust of academic advisors made up of Columbia and
Harvard Professors and Alumni.
• These advisors adopted ideologies ranging from:
President Theodore Roosevelt’s New Nationalism
Supporting Business & Government Cooperation
President Woodrow Wilson’s New Freedom
Supporting Trust Busting to Restore Competition
• The first thing the President needed to fix was the Banking Problem.
He declared a Banking Holiday (closing all banks) and met with Congress.
A New President and A New Deal
The First New Deal
• 9 May 1933 – Congress passed the Emergency Banking Relief Act.
Reopening Banks considered to be economically sound by the Federal Reserve.
• 12 May 1933 – Congress passed the Agricultural Adjustment Act (AAA).
Restricting Agricultural Production by paying farmers Subsidies not to plant some crops or slaughter excess livestock.
• 18 May 1933 – Congress established the Tennessee Valley Authority (TVA).
Federally Owned Corporation to provide Flood Control, Hydroelectric Power, Navigation Regulations, and Economic Development.
• 16 June 1933 – Congress created the Federal Deposit Insurance Corp (FDIC).
Federally Owned Corporation to provide Government Insurance on Bank Deposits and Investments.
A New President and A New Deal
The First New Deal
• 16 Jun 1933 – Congress passed the National Industry Recovery Act (NIRA).
An attempt to Suspend Anti-Trust Laws, Raise Prices, Stimulate Economy
1935: U.S. Supreme Court declared the act Unconstitutional
• 6 Jun 1934 – Congress created the Securities & Exchange Commission (SEC).
To Regulate the Stock Market and Prevent Trader Fraud
Creating New Jobs
• 1933-1934: Civil Works Administration (CWA)
Provide Men with Jobs instead of Handouts
Boost Morale of Unemployed Americans
Mostly Unemployed & Unskilled Mean
Improved Sewers and Roadways
Built Schools, Playgrounds, & Airports
A New President and A New Deal Creating New Jobs
• 1933-1943: Public Works Administration (PWA)
Large Scale Government Construction Agency
Built Dams, Bridges, Hospitals, and City halls
• 1935-1943: Works Projects Administration (WPA)
Urban Public Works Relief Program
Mostly Unemployed & Unskilled Men
Construction of Roads, Parks, & Schools
Unemployed and Unmarried Men
Hired mostly Unskilled Laborers
Living in Camps with Cot, Uniforms, Food
Conservation Projects (National Parks)
A Rural Public Works Relief Program
• 1933-1942: The Civilian Conservation Corps (CCC)
A New President and A New Deal
The 21st Amendment
• 5 Dec 1933 – Ratified by State Conventions
Rejected by the Deep South (NC, SC, GA)
Repealed 18th Amendment on Prohibition
Gave Power to the States to establish their own laws on alcohol.
Political Opposition to the New Deal
• Right Wing Conservatives
Too many Regulations on Businesses
Expanded Government Controls threatened States Rights
Opposed President’s Deficit Spending to pay for New Deal
Abandoned Balanced Budget by Borrow Money for programs
• Left Wing Liberals or Radicals
New Deal Programs Didn’t do enough to help the poor
Wanted Government to do more by Expanding Programs
Wanted to shift Economic Power from Rich to Middle Class Americans
A New President and A New Deal
Political Opposition to the New Deal
• Louisiana Senator Huey Long was a Champion for the Poor
A Fiery Orator who appealed to the American Public
He attacked the Power, Greed, & Corruption of the Rich
His Supporters formed “Share the Wealth” Clubs
• Father Charles Coughlin was Impatient with Reforms
A Popular Catholic Priest with a Radio Talk Show
He called for Heavier Taxes on the Wealthy
He formed the National Union for Social Justice
• Dr. Francis Townsend (Former Health Care Official)
Proposed a Pension System for Elderly (Over 60)
People could Retire and Free up Jobs for Unemployed
Anticipated Program would Increase Public Spending
A New President and A New Deal
The Second New Deal
Political Opposition to the New Deal
• Aug 1934 – Business Leaders and Politicians formed the American Liberty League to oppose the New Deal
Proposed to Teach the Legislature on how to Legislate Laws
Teach the Necessity of Respecting People’s Rights and their Property
Foster the Right for People to Work, Earn, Save, and Own Property
• May 1935 – The U.S. Supreme Court declared the NIRA Unconstitutional.
First – The term “Fair Competition” wasn’t adequately defined in the law
Second – Giving power & authority to the President was Unconstitutional
• July 1935 – Congress passed the National Labor Relations Act
Guaranteed Employees the right to Organize Trade Unions
Provided for Collective Bargaining (Negotiations) between Employees
and Businesses concerning better Working Conditions and Wages
A New President and A New Deal
The Second New Deal
• The New Act stimulated workers in various industries to create the Committee for Industrial Organization:
Set out to organize workers unions in Industries where they did not yet exist
• Aug 1935 – Congress Passed the Social Security Act
Laid the Foundation for Creating the AFL - CIO
Establishing the Social Security Administration
Providing Benefits to Retirees and Aged Individuals
Providing Welfare Payments to Families with Children
Providing Temporary Income to the Unemployed
• Jan 1936 – U.S. Supreme Court Declared the AAA Unconstitutional
First – The Law Levied Taxes on Food Processors and Gave Subsidies to Food Producers
Second – Regulation of Agriculture was deemed a States Rights Issue
A New President and A New Deal
Two Political Mistakes
• Early 1937 – Judicial Procedures Reform Bill
Commonly known as the “Court Packing Plan”
Presidential Proposal to increase the number of Justices in the Supreme Court
Effort to get better rulings on New Deal Acts
The Court Backed Down & the bill was set aside
• Late 1937 – President Roosevelt ordered spending cutbacks in PWA & WPA
Intended to help Balance the Federal Budget
Resulted in sudden surge of Unemployment
Approximately 2 Million lost their jobs
President’s Reputation and Support damaged
A New President and A New Deal
The Last New Deal Reforms
• July 1937 – Farm Security Administration (FSA)
Stressed need for Rural Rehabilitation
Dedicated to Improve Lifestyle of Sharecroppers
Helped Poor Farmers buy land with Government Loans
• Sep 1937 – National Housing Act (Wagner-Steagall Act)
Subsidies paid to Public Housing Agencies (LHA’s)
Improved Living Conditions for Low Income Families
• 1938 – Fair Labor Standards Act (FSLA)
Provided for maximum 44 hour, Seven-day Workweek
Established National Minimum Wage (Cost of Living)
Guaranteed Time-and-a-Half for Overtime (Some Jobs)
Prohibited Employment of Minors (In Most Professions)