chapter 15 part 1 pages 488-494. fdr born to wealthy family married eleanor roosevelt (5 th cousin...
TRANSCRIPT
Chapter 15
Part 1Pages 488-494
FDR
• Born to wealthy family• Married Eleanor Roosevelt (5th cousin and
niece of Teddy Roosevelt)• New York state legislature• Assistant Secretary of the Navy• 1920 VP candidate for Cox (lost to Harding)• Polio• Governor of NY
Election 1932
• Beat Hoover easily• Democrats took over House and Senate
• FDR’s Campaign: Relief, Reform, Recovery• Theme song: Happy Days are Here Again
The New Deal
• FDR’s plam to combat the depression• Will use direct aid• Was called Pump Priming
• John Maynard Keynes: English Economist who advocated deficit spending when economy was in crisis
The Brain Trust
• A group of advisors (most professors from Columbia University)
Fireside Chats
• Used the radio on a regular basis to keep in touch with the American people
• Most Americans believed that he understod their problems and cared abouth them
Banking Crisis
• Between FDR’s election in November of 1932 and his inauguration in March of 1933
• Banks started to collapse nation-wide• Many other banks closed to prevent folks from
taking their money out• Michigan was the first state to declare a
banking holiday
The First 100 Days
• More legislation passed by Congress here than all other presidencies to this point put together
• Congress was frightened and FDR was popular so FDR called the shots (will be different with foreign affairs)
The Emergency Banking Act
• Closed all banks in country• Federal inspectors• Many shored up with federal funds• Banks reopened
Glass-Steagall Act
• New rules for banks: no more selling securities, no more financing corporations, etc.
• Also provided for the FDIC (Federal Deposit Insurance Corporation) insured deposits up to $5,000
Fireside Chat
• Convinced people to redeposit their money in banks
• Folks could no longer use gold to purchase products
• So people stopped hoarding their gold and cash
Federal Securities Act
• Corporations were required to give accurate complete information about their companies
The SEC
• Securities and Exchange Commission• To be a watchdog on the Stock Market
• Joe Kennedy was put in charge
the 21st Amendment
• Repealed prohibition (18th)
Farmers
• The AAA Agricultural Adjustment Act• Paid farmers to take land out of production
(they plowed their crops under)
• Paid ranchers and pig farmers to slaughter their meat.
Between 1932-1936
• Farm prices rose 50%• But Problems• People were starving in cities• Sharecroppers were worse off• Dust bowl continued…ecological disaster
• The Supreme Court declared the AAA unconstitutional
Will Be Replaced
• The new AAA• The Domestic Allotment and Soil Conservation
Act
• Fixed problems of the old AAA• Farmers had to share with sharecroppers and
had to plant something to keep topsoil down
The TVA
• Tennessee Valley Authority• The Tennessee Valley was one of the most
depressed areas of the country• The government built 25 great dams• Provided cheap electricity and fertilizer• Employed 40,000 folks• A great success but socialist!• Electric companies very unhappy
Work Relief
• The federal government paid people to work• Alphabet soup
• CWA Civil Works Administration• PWA Public Works Administration• WPA Works Progress Administration• CCC Civilian Conservation Corps• NYA National Youth Administration
The CWA
• People were hired to build roads, schools, hospitals, airports
• The PWA was part of the NIRA (later)• People were hired to build dams, canals,
bridges (stuff related to water)
The WPA
• Works Progress Administration for white collar workers
• Teachers, Nurses, Doctors, Artists, others• Teachers were paid by the government to tutor
or work in a bankrupt school• Nurses were paid to check on folks in the
countryside• Artists were paid to paint murals on
government buildings
The CCC
Paid young single men to do heavy duty outdoor workPlanted trees, raked leaves, etc.
Were paid $30 a month but $25 was sent home to their families
The NYA
• Gave part time work to full time high school or college students
• Full time jobs were saved for heads of households
• More high school graduates
Business and Labor
• The NIRA National Industrial Recovery Act
• Business and labor were to draw up codes of fair competition: decide on hours, wages, prices, etc. together
• Included section 7a. Was supposed to guarantee collective bargaining
By 1934
• Business was recovering• BUT many violations of section 7a
• And the Court declared the NIRA unconstitutional in the Sick Chicken Case
The NIRA
• Will be replaced with the Wagner Act which did protect unions with the NLRB
• The National Labor Relations Board was given the authority to hold secret meetings in the workplace to help workers unionize and it could reinstate workers who had been fired for union activity
Relief
• Home Owners Loan Corporation• Federal Housing Administration• Federal Emergency Relief Administration
• Home mortgages, repairs, direct relief like clothing, food, medical care
New Deal Critics
• Conservatives thought FDR went too far
• Called him a commie dictator• Government was too big, too intrusive
• Hoover wrote: A Challenge to Liberty• Others formed The American Liberty League
New Deal Critics
• Liberals thought FDR had not gone far enough
• Upton Sinclair almost became governor of California. Advocated communal living all over America
• Doctor Townsend: Believed all retired persons over 65 should be given $2000 a month every month as long as they spent it all
Liberal Critics
• Father Coughlin Shrine of the Little Flower at 12 and Woodward
• Was given radio time on WJR every Sunday night…very popular
• Advocated huge taxation of the wealthy and guaranteed income to the rest of us
Huey Long
• The King Fish• Sometimes senator and sometimes governor
of Louisianna
• The Share the Wealth Plan: Take the property of the wealthy and redivide it equally to everyone
All critics were popular
• FDR knew he would never gain the support of the conservatives
• BUT he might gain more support by introducing more liberal programs
• So enter the Social Security Act, Food Stamp Plan