The New Deal

Beginnings of the New Deal

Failure of Hoover to adequately respond

to the Great Depression.

Rugged Individualism approach? Not quite.

End of Republican political domination

(1920-1932)

Election of FDR (1932)

Deepening economic crisis during the

Dust Bowl and Great Depression

First Hundred Days

First Hundred Days

FDR institutes sweeping reform in his first 100 days in office.

Calls session of Congress for three months

Creates a slew of New Deal agencies – including TVA, CCC, and WPA

15 major bills pass Congress in first 100 days.

“The whole country is with him, just so he does something. If he burned down the Capitol, we would all cheer and say, well, we at least got a fire started anyhow.” – Will Rogers

Fireside Chats

The fireside chats: A series of 20

evening radio addresses by FDR.

First used as governor of New York.

Uses “chats” to outline policies and

gain public support

Most notably introduces the New

Deal on May 7.1933.

Completely changes relationship

between executive and public.

Legacy of Fireside

Chats

The New Deal

Relief for the unemployed poor.

Recovery of the economy to pre-

depression levels.

Reform of the financial system to prevent

another depression.

Leads to greater federal control of the

economy.

Remains controversial to this day to the

rapid expansion of the federal

government’s power.

Quote from head of the NRA

“There is no choice presented to American

business between intelligently planned and

uncontrolled industrial operations and a return to

the gold-plated anarchy that masqueraded as

"rugged individualism" ... Unless industry is

sufficiently socialized by its private owners and

managers so that great essential industries are

operated under public obligation appropriate to

the public interest in them, the advance of

political control over private industry is inevitable.”

Discussion

Do you agree or disagree? Should essential industries be

“operated under public obligation appropriate to the

public interest?”

What are some industries that should be socialized?

Which businesses should not be?

Recession of 1937 Recession of 1937: Unemployment

rises from 14.3% to 19% between 1937

and 1938.

FDR had claimed responsibility for

improving economic conditions – this

backfires with the recession.

Four years later, the US would reach

full employment following their entry in

to World War II.