Transcript Slide 1

■Essential Question:
–In what ways did President
Franklin Roosevelt’s “New Deal”
provide relief, recovery, & reform
during the Great Depression?
■Warm-Up Question:
–?
Hoover & the Depression
■From 1929 to 1932, President
Hoover was criticized for not doing
more to end the depression
–Unemployment reached 25%
–U.S. banking collapsed
–Hoover offered gov’t intervention
(relief check, job programs) but it
was seen as too little, too late
■By the election of 1932, Americans
wanted hope & strong leadership
Unemployment in America, 1929-1942
FDR & the New Deal
■In 1932, Democrat Franklin Roosevelt
(FDR) defeated Hoover
“Let me assert my firm belief that
the only thing we have to fear is fear itself;
nameless, unreasoning, unjustified terror
which paralyzes needed efforts to convert
retreat into advance.”
FDR’s inaugural address in 1933 inspired hope
FDR & the New Deal
■FDR initiated his New Deal, a
series of laws that were designed
to fight the depression by offering:
–Relief: gov’t relief checks & jobs
to get people back to work
–Recovery: tried to end the
depression by stimulating
industry & farming
–Reform: long-term solutions to
America’s economic problems
The Hundred Days
■In his 1st 100 days in office, FDR
& Congress passed 15 major laws
–FDR’s 1st action was to address
the bank crisis; By 1933, people
had no faith in banks
–FDR declared a 4-day bank
holiday after which banks were
allowed to re-open only after
gaining a gov’t endorsement
Banks recovered
& Americans slowly
regained confidence
in banks
FDR’s
Fireside
Chats
Listen to the first few minutes of FDR’s 1st
■FDR
used
radio1933
to sell
his New
fireside
chatthe
in March
in which
he
explains his
Deal programs
tobank
the holiday
American people
–These “fireside chats” used simple ,
clear language
to explain his
New Deal
programs &
gain public
support for
these goals
New Deal: Relief
■The greatest success
of the New Deal was
its ability to offer relief
to unemployed citizens:
–The gov’t provided
relief checks to 15%
of Americans
–The gov’t created
jobs for Americans
Percentage of American Families
Accepting Government Relief in 1933
New Deal: Relief
■Civilian Conservation
Corps (CCC) was a
work program for young
men aged 18-25:
–The CCC built roads,
soil erosion projects,
& parks
–The CCC employed
3 million young men
CCC workers
paved roads,
planted trees,
built bridges
New Deal: Reforms
■The New Deal created
long-term reforms to
address weaknesses in
the American economy
■Securities & Exchange
Commission (SEC) was
created to regulate the
stock market & prevent
another stock market
crash
New Deal: Reforms
■To help restore public
confidence in banks,
the Federal Deposit
Insurance Corporation
(FDIC) was created:
–The national gov’t
insures money in
bank accounts (up to
$250,000 as of 2006)
New Deal: Reforms
■The Tennessee Valley
Authority (TVA) created
hydroelectric power
plants in the South
–TVA created dams in
7 states to provide
cheap hydroelectric
power & create jobs
New Deal: Recovery
■ New Deal programs tried
to stimulate the economy
& end the depression
–Agricultural Adjustment
Act (AAA) tried to help
farmers by paying
them not to produce
–By lowering supply, the
gov’t hoped to increase
crop prices
Unemployment in America, 1929-1942
The New Deal began in 1933, but by 1935 the
Great Depression had not yet come to an end
FDR’s Critics
■The failure of the New Deal to end
the depression led to frustration &
criticism of FDR’s programs:
–The most vocal critic was
Louisiana Senator Huey Long
–Long’s Share the Wealth plan
suggested taxing all personal
income over $1 million to give
each family $2,500 per year
Huey Long
“The Kingfish”
How many men ever
…then
we've
got
to
went
to
a
barbecue
&
Now,
how
are
you
But
when
they've
got
call
Mr.
Morgan
&
Mr.
would
let
one
man
going
to
feed
the
everything
on
God's
Mellon
&
Mr.
take
off
the
table
balance
of
the
loving
earth
that
they
Rockefeller
back
and
what's
intended
for
people?
What's
can
eat
&
they
can
th
say:
“Come
back
here,
9/10
of
the
people
Morgan
&
Baruch
&
wear
&
they
can
live
put
that
stuff
back
on
to
eat?
The
only
way
Rockefeller
&
Mellon
in,
&
all
that
their
Huey Long
threatened
to
run
this
table
here
that
you'll
ever
be
able
to
rd
going
to
do
with
all
children
can
live
in
as a 3 Party
candidate
but&
you
took
away
from
feed
the
balance
of
that
grub?
They
can't
wear
&
eat,
&
all
of
was assassinated
in
1935
here
that
you
don't
the
people
is
to
make
eat their
it,need.
they
can't
wear
children's
Leave
that
man
come
back
the
clothes,
they
can't
children
can
use,…
something
else for
& live
bring
back
some
of
in
the
houses.
thegrub
American
people
that
that he
ain't
tobusiness
consume.”
got no
with!
Court Packing
■ The Supreme Court declared 2
recovery programs unconstitutional
–FDR feared that the Supreme
Court would weaken the New Deal
–FDR’s solution was to ask called
court-packing: He wanted to
increase the number of justices
from 9 to 15
–Congress rejected his radical plan
FDR’s Second New Deal
■In 1935, FDR launched
the Second New Deal
–The Works Progress
Administration (WPA)
was the biggest New
Deal program
–Created 10 million
jobs in a variety of
professions & cost
the gov’t $10 billion
WPA Public Work Project
WPA Initiatives
WPA Arts Project
WPA Music Projects
WPA Theater Projects
FDR’s Second New Deal
■Social Security was
America’s 1st welfare
program; It created
–Old-age pensions to
be funded by
employers & workers
–Welfare payments for
the blind,
handicapped, &
needy children
FDR’s Second New Deal
■The Wagner Act:
–Protected workers
right to strike &
collectively bargain
–Outlawed unfair
practices used by
companies to
discourage union
membership
Conclusions
■FDR’s New Deal created a new
role for the U.S. government:
–For the 1st time, the gov’t used
deficit spending (going into debt)
to stimulate the economy
–For the 1st time, the gov’t took
responsibility for the people &
created welfare programs
–New Deal successfully offered
relief to ease peoples’ suffering,
but it did not end the Depression