FDR's New Deal Fights the Great Depression


The New Deal23
CHAPTER OBJECTIVE
To understand the impetus
for FDR’s New Deal
legislations and the impact
these policies had on the
American nation

1
A New Deal Fights the Depression
OVERVIEW
After becoming president,
Franklin Delano Roosevelt used
government programs to combat
the Depression.
Americans still benefit from
programs begun in the New Deal,
such as bank and stock market
regulations and the Tennessee
Valley Authority.
MAIN IDEA WHY IT MATTERS NOW
TERMS & NAMES
HOME
• Franklin Delano
Roosevelt
• Glass-Steagall Act
• Federal Securities Act
• National Industrial Recovery Act
(NIRA)
• Civilian Conservation Corps (CCC)
• Agricultural Adjustment Act (AAA)
• Huey Long
• deficit spending
• New Deal
ASSESSMENT
MAP

23
W I T H H I S T O R Y
I N T E R A C T
How would you begin to revive the
economy?
Examine the Issues
It is 1933, the height of the Great Depression.
Thousands of banks and businesses have failed, and a
quarter of the adult population is out of work. Now a
new president takes office, promising to bring relief to
the ailing economy.
• What can be done to ease unemployment?
• How can the government help failing industries?
HOME
• What would you do to restore public confidence and economic
security?• How would you get money to pay for your proposed recovery
programs?
The New Deal

What Should Be Done to Cure the
Depression?
 Read each of the following suggested ways to fix the
economy.
 Pick the top three ideas that you think are best and
label them 1, 2, &3
 Pick the three ideas you think are the worst and label
them 8, 9, & 10.

Election of 1932
Franklin Delano Roosevelt
Democratic Candidate
reformer
Herbert Hoover
Republican
Candidate
Incumbent (residing)
President

Who won the Election of 1932?
Who were the
two presidential
candidates in the
1932 election?
Who won the
election of 1932?
Which political
party was the
winning
candidate apart
of?
Why might this
candidate have
won by such a
large majority?

Franklin Delano Roosevelt
 Thirty-Second
President
 1933-1945
Suffered from polio & was partially
paralyzed from the waist down.
He was able to stand with the help of
leg braces.
Campaigned vigorously to prove he
could undertake the job of President
despite his disability

BrainTrust
A group of carefully
picked advisers
including professors,
lawyers, &
journalists that
helped FDR set
policies to alleviate
the problems of the
Depression.

New Deal
Goals of the New Deal:
1. relief for the needy
2. economic recovery
3. financial reform
FDR’s programs designed to alleviate the problems of the Great
Depression.

First Hundred Days
What month is the president elected
in?
When is the president inaugurated
(sworn in) into office today?
First 3 months of Roosevelt’s
administration (March-June 1933)
A burst of congressional legislation
(laws) to address problems of the
Depression.
Significantly expanded the federal
government’s role in the nation’s
economy.

AWise Economist Asks A Question
1. What do squirrels do
with acorns in the
summer & fall?
2. Did the man “squirrel”
away his money?
3. What happened to his
savings?
4. What does this
cartoon tell us about
Americans faith in the
banking system?
5. What can be done to
restore Americans
confidence?

FDR Fireside Chat
How does FDR use the
fireside chat?
What type of language does
he use?
What was the focus of his
first talk?
http://www.iptv.org/IowaPathways/artifact_
detail.cfm?aid=a_000760&oid=ob_000
064
http://www1.teachertube.com/viewVide
o.php?title=FDR_Fireside_Chat&video_id
=89365&vpkey=

Banking Reform
 Widespread bank failures had caused Americans to loose faith in the
banking system.
 March 5, 1933 Roosevelt declared a “Bank Holiday”
 Closed the banks to prevent further withdrawals & reorganization

ExitTicket
Complete the, “Let’s Make A Deal” Worksheet.
Identify the specific problems Roosevelt will need to address as president.
Brainstorm possible solutions to each problem.

Group Activity
 Insert make your own fireside chat or New Deal
program poster.
 See rubric for evaluation criteria.

Emergency Banking Relief Act:
Authorized the Treasury
Department to inspect
the country’s banks.
Sound could reopen,
insolvent-remain closed
How does this help to cure
the economy?
Restored confidence in
banks

Glass-Steagall Act
Established the FDIC Federal
Deposit Insurance
Corporation to provide
federal insurance for
individual bank accounts.

Regulating Banking & Finance
 Federal Securities Act- required
corporations to provide complete
information on all stock offerings
and made them liable
 Securities & Exchange Commission
(SEC)-regulate the stock market and
prevent insider trading.

21st Amendment
 Repealed prohibition so
that government could
raise revenue by taxing
alcohol.

Rural Assistance
 Agricultural Adjustment Act
(AAA)- sought to raise crop
prices by lowering production
which the government achieved
by paying farmers to leave a
certain amount of land
unseeded.

Agricultural Adjustment Act (AAA)
Government provided subsidies
for limits on production of corn,
wheat, cotton, pork, & tobacco
 If farmers reduced their supply
then prices would increase
Slaughtered 6 million hogs
In return for withdrawing land,
farmers received “rental”
payments from the AAA
Paid $200 million to plow under
10 million acres of cotton

Agricultural Adjustment Act
 http://www.iptv.org/IowaPathways/artifact_detail.cfm?aid=a
_000759&oid=ob_000064
 declared unconstitutional in 1936
 Revived in 1938 with modifications to meet Court challenge

Tennessee Valley Authority
TVA
 Designed to
develop & improve
the Tennessee
River Valley region
 Created thousands
of jobs & other
benefits to an
impoverished
region
 Which seven states
benefit most
directly from TVA

Constructed
hydroelectric power
plants to attract more
industry and provide
electricity to homes
Power companies didn’t
like the government
production and sale of
power they claimed it
was unfair

Civilian Conservation Corps
 Put almost 3
million young
men aged 18-
25 to work
building roads,
developing
parks, planting
trees, & helping
prevent soil
erosion and
flood control
projects.
http://www.iptv.org/IowaPathways/artifact_detail.cfm?aid=a_00075
5&oid=ob_000064

Planted 200 million tress in the Great Plains to prevent
another Dust Bowl

PublicWorks Administration
 Created in 1933 when Depression was at its most severe
and economic system of U.S. was near “complete collapse”
 Provided money to states to create jobs chiefly in the
construction of schools & community buildings
 Funded $3.3 billion to put people to work building roads,
public buildings, improving waterways, and other projects
 34,000 public projects

 The poster claims that P.W.A.
efforts were aimed at turning
relief into what?
 What examples of P.W.A.
activities are found in Texas?
 What primary activity was
taking place off the west and
east coast of the U.S.?
 What public-works activity
involved the Mississippi River?

National Industrial Recovery Act
(NIRA)
 Established codes of fair
business practices
 Set prices of products to
ensure fair competition
 Established standards for
working hours & a ban on
child labor
 Guaranteed workers
rights to unionize and
bargain collectively.

Home Owners Loan Corp
(HOLC)
 Provided
government loans
to homeowners
who faced
foreclosure
because they
couldn’t make their
loan payments.

Federal Housing Administration
(FHA)
 Furnishes loans for
home mortgages
and repairs

Federal Agency Emergency Relief
(FERA)
 $500 million to
provide direct relief
for the needy
 Food & clothing for
the unemployed,
aged, & ill

Keynesian Economics
 Deficit Spending-
spending more money
then the government
takes in to stimulate the
economic recovery by
putting money in the
hands of consumers to
make it possible for
them to buy goods &
services and thus fuel
economic growthBritish economist
John Maynard Keynes

Opposition to the New Deal
 New Deal isn’t
doing enough!-
liberals
 New Deal is
doing too
much!-
conservatives
 Opposition
from the
Supreme Court

New Deal Isn’t Doing Enough!
 Many Americans were still
desperately poor
 Worst off were blacks &
farmers
 Key figures were:
 Huey Long
 Father Coughlin
 Dr. Francis Townsend

New Deal Critic: Dr. Francis
Townsend
 Retired California
Physician
 Suggested a $200
per month pension
for people over 60
 Open jobs for
younger
unemployment
 Funded by a
national transaction
sales tax

New Deal Critic:
Father Charles Coughlin
 Catholic radio priest in
Detroit Michigan in 1930’s
 10 million listeners
 Criticized FDR in weekly
radio program
 Critical of New Deal
 International conspiracy of
bankers
 Fascist; Anti-Semitic

National Union for Social Justice
 Every person capable of
work should receive a fair,
living, annual wage
 Nationalizing some public
resources
 Private ownership of
property but controlling it
for public good
 Right for workers to form
unions & govt support &
protection
 Human rights over
property rightsFather Charles Coughlin

New Deal Critic: Huey Long
 Governor of Louisiana & U.S.
Senator
 Populist who championed the
working class & the poor
 “The Kingfish”
 Critic of FDR’s New Deal for
not doing enough to
redistribute wealth
 Promoted “Share the Wealth”
program
 Shot & killed by Dr. Carl Weiss
in 1936
 http://www.youtube.com/watch
?v=hphgHi6FD8k&feature=rela
ted

“Share Our Wealth”
 1. Federal govt give every family an allowance of not less than
1/3 the average family wealth of the country
 No family have a fortune more than 100-300 times the average
family fortune
 Capital levy tax on income over $1 million
 2. No person have an income less than $2,000-$2,500 annually
 3. Limit/regulate working hours to prevent overproduction and
allow workers time for recreation, education, etc.
 4. Old Age Pension for people over 60 years old
 Guarantee all citizens a car, a house, a pension, & an education
 Popular with the poor

The New Deal is Doing Too Much!
 Business Community & Republicans
 ND too complicated, too many codes &
regulations
 Govt shouldn’t support unions & wages, that is
the job of the market
 ND like Stalin’s 5 year Plan
 Wealthy worked hard, high taxes discourage
people from working hard, & gave money to
people who did little for it.

The New Deal is Doing Too
Much!
 Govt schemes like
TVA unfair
competition since
private companies
aren’t funded by
govt

What is FDR wearing?
What does his clothing
represent?
What is FDR pointing at?
What compass did FDR
want to change? Why?
How might the cartoonist
feel about FDR’s power as
president?
•FDR is behaving like
a dictator

1
A New Deal Fights the
Depression
1. List problems that President Roosevelt confronted
and how he tried to solve them.
continued . . .
Massive unemployment
Bank holiday; treasury inspection;
deposit insurance
Federal work programs
Paying farmers to slow crop
production
Lack of confidence in banks
Low crop prices
HOME
Problems Solutions
MAP
ASSESSMENT

1
A New Deal Fights the Depression
2. Of the New Deal programs discussed in this
section, which do you consider the most important?
Think About:
ANSWER
POSSIBLE RESPONSES:
• The FDIC boosted confidence in banks
• The CCC provided aid for unemployment and
helped the environment.
• the type of assistance offered by each program
• the scope of each program
• the impact of each program
HOME
ASSESSMENT
continued . . .
MAP

1
Depression
3. Do you think Roosevelt was wrong to try to “pack”
the Supreme Court with those in favor of the New
Deal?
ANSWER
POSSIBLE RESPONSES:
• No: Given the crisis of the Depression, it was
necessary for FDR to restructure the Court.
• Yes: FDR’s proposed “Court-packing bill” would
violate principles of judicial independence and the
separation of powers.
HOME
ASSESSMENT
continued . . .
MAP

1
Depression
4. The New Deal has often been referred to as a
turning point in American history. Cite examples to
explain why.
ANSWER
The New Deal helped the failing banking system,
restored people’s hope in the future, provided
assistance to farmers and those in need of housing,
and provided people with jobs.
HOME
ASSESSMENT
End of Section 1
MAP

S E C T I O N
2
The Second New Deal Takes Hold
HOME
OVERVIEW
The Second New Deal included
new programs to extend federal
aid and stimulate the nation’s
economy.
Second New Deal programs
continue to assist homebuyers,
farmers, workers, and the elderly
in the 2000s.
TERMS & NAMES
ASSESSMENT
• Social Security Act
• Eleanor Roosevelt
• Works Progress Administration
(WPA)
• National Youth Administration
• Wagner Act

Who were the two candidates
running for president in the
election of 1936?
Who won the popular vote in
the election of 1936?

Election of 1936
 Democratic convention in
Philadelphia
overwhelmingly re-
nominated Roosevelt
 Governor Alfred M.
Landon of Kansas was
nominated as the
candidate for the
Republican Party
 William Lemke ran as
a third party candidate

Election of 1936
 Kansas Governor Alfred Landon
 Moderate Republican
 Follower of Teddy Roosevelt,
supported some regulation of
business
 A poor speaker compared to the
charm and political astuteness of
Franklin Roosevelt

What do the results of
the election of 1936 tell
us about FDR’s
presidency?

Eleanor Roosevelt
 A social reformer who combined
her humanitarian impulses and
her political skills
 Served as an important advisor
to FDR in domestic policy
 She traveled the country
observing social conditions &
reminding the president about
the suffering of the nation’s
people
 She urged FDR to appoint
women to government positions


Unemployment still high
Production still lagging
FDR called on Congress to provide more relief for both farmers and workers
Second New Deal

Farm Security Administration
(FSA)
 Loaned more than $1
billion to help tenant
farmers become
landholders
 Established camps for
migrant farm workers
 Hired photographers to
take pictures of rural
towns & farms & their
inhabitants

Wagner Act
 Created in 1935
 Named after its sponsor
Robert F. Wagner
 Federal government
protected the rights of
workers to join unions&
use collective bargaining
 Government could
investigate employers,
issue cease & desist
orders if unfair practices
were brought to light.

Fair Labor Standards Act
 Set maximum
number of working
hours at 44
hours/week
 Set minimum wages
 Banned hazardous
work for those under
18
 Set rules for
employment of
workers under 16
years old


• In 1935, only 12.6% of
American farms had
electricity
• Government financed &
worked with electrical
companies to bring
electricity to isolated
areas.
• By 1949, 90% of
America’s farms & rural
areas had electricity
Rural Electrification Administration
(REA)

Federal Art Project
 Paid artists a living
wage to produce public
art and sought to
increase public
appreciation of art.
 Artists created
posters, taught art in
schools, and painted
murals on walls of
public buildings

S E C T I O N
2
The Second New Deal Takes Hold
2. Why might the Social Security Act be considered the
most important achievement of the New Deal? Think About:
ANSWER
The Social Security Act provided immediate aid to the unemployed, the elderly, the
disabled, and families with dependent children. It was the New Deal program with
the largest scope, affecting thousands of people, over many years.
• the types of relief needed in the 1930s
• alternatives to government assistance to the elderly,
the unemployed, and the disabled
• the scope of the act
HOME
ASSESSMENT
End of Section 2

S E C T I O N
3
The New Deal Affects Many Groups
New Deal policies and actions affect
Americans in all walks of life. The
Democratic Party forms a new political
coalition.
OVERVIEW ASSESSMENT
KEY IDEA
HOME

S E C T I O N
3
HOME
TERMS & NAMES
• Mary McLeod Bethune
• New Deal coalition
• Congress of Industrial Organizations
(CIO)
• John Collier
• Frances Perkins
ASSESSMENT
OVERVIEW
New Deal policies and actions
affected various social and
ethnic groups.
The New Deal made a lasting
impact on increasing the
government’s role in the struggle
for equal rights.

Gains Made by African Americans
 Increased political voice
through greater access to
the president
 Organizations created for
tenant farmers
 Mary McLeod Bethune
advisor to FDR on
minority affairs
 William H Hastie and
Robert C Weaver
appointees to
Department of Interior

Problems Faced by African
Americans
 Segregation
 Racial violence
 Racism
 Discrimination in all areas of
life
 Poll taxes
 FDR not committed to full
civil rights, afraid of upsetting
white democratic voters
 FDR refused to approve anti
lynching law


Mexican Americans
Mexican Americans worked on farms in Texas,
California, & Arizona
Valued for their low cost labor during the 1920’s.
Became targets of hostility during the Great
Depression.
During the 1930s, 400,000 persons of Mexican
decent, many U.S. citizens, were deported to
Mexico.
Why do you think Mexican Americans were met
with hostility during the Depression?
Why did white workers accuse minorities of
taking their jobs?

John Collier
 Appointed by FDR as
commissioner of
Indian affairs
 Helped create the
Indian Reogranization
Act which allowed for
autonomy instead of
assimilation
 Helped restore
reservation lands to
tribal ownership

Gains Made by Labor Unions
 Better working
conditions because of
Wagnner Act and other
prolabor legislation
 Increased bargaining
power
 Dramatic increase in
union membership from
3 million in 1933 to 10
million in 1941
 Labor unions pledged
votes to FDR relection

Problems of Unions
 Strike violence (i.e.
Memorial Day Massacre
in Chicago 1937)
 Big business opposition
to labor unions
 Sit down strikes
prevented owners from
calling in strike breakers
called scabs to work,
shut down factory
production

Coalition
Groups
 Southern whites
 Urban groups in
Northern cities like
Boston, NY,
Philadelphia,
Chicago
 Immigrants
 Religious and ethnic
groups (Catholics,
Jews, Italians, Irish,
Polish, & Slavic)
Supported
Roosevelt
New Deal labor laws and
work-relief programs aided
urban poor
FDR made persuasive
appeals to urban voters
FDR appointed many
officials of urban-immigrant
backgrounds to important
government positions

S E C T I O N
3
2. What steps did women make toward equality during the
1930s? Think About:
ANSWER
Women appointed to government positions; more women
employed outside the home; expanding opportunities in
the workplace; women activists and organizers
continued . . .
• the role of women in government
• hiring practices in federal programs
HOME
ASSESSMENT
• women’s opportunities in business and industry

S E C T I O N
3
3. In your opinion, did organized labor become too powerful
in the 1930s? Think About:
ANSWER
POSSIBLE RESPONSES:
• Yes: Strikes interfered with business and labor disputes
and sometimes resulted in violence.
• No: Unionization resulted in better working conditions.
continued . . .
• why workers joined unions
• how unions organized workers
HOME
ASSESSMENT
• the role of unions in politics

S E C T I O N
3
4. Why did urban voters support President Roosevelt?
ANSWER
New Deal labor and relief programs helped the urban poor.
Roosevelt made direct appeals to urban voters during his
campaign.
HOME
ASSESSMENT
End of Section 3

S E C T I O N
4
Culture in the 1930s
Motion pictures, radio, art, and literature all
blossom during the period of the New Deal.
KEY IDEA
OVERVIEW ASSESSMENT
HOME

S E C T I O N
4
HOME
TERMS & NAMES
• Gone With the Wind
• Richard Wright
• The Grapes of Wrath• Grant Wood
• Orson Welles
ASSESSMENT
OVERVIEW
Motion pictures, radio, art, and
literature blossomed during the New
Deal.
The ﬁlms, music, art, and literature
of the 1930s still captivate today’s
public.

What are some ways in which pop culture
is spread?

W hat are some examplesof
pop-culture from today?

What are attitudes, values, & beliefs?

Annie
http://www.youtube.com/watch?
v=Qx3ZfesQKhM&feature=relat ed
W hat doesDaddy Warbucksdo with
hismoney?
Daddy Warbucksisphilanthropic
businessman that adoptsan
orphan child unlike greedy
businessmen of the 1920’s.
Annie runsinto evil forcessuch
ascheating Mrs. Hannigan,
gangsters, & crookswho
represent corruption.

Man ControllingTrade
Sculpture by Michael
Lantz
located in front of the
Federal Trade Commission
in Washington DC
businessneeded to be
regulated/stopped/
controlled by the
government

S E C T I O N
4
2. What type of movies do you think might have been
produced if the government had supported moviemaking as
part of the New Deal?
ANSWER
Movies that focused on social and political
accomplishments, and documentaries about the Dust Bowl
and the Depression.
HOME
ASSESSMENT
continued . . .

S E C T I O N
4
3. How did the entertainment industry affect the economy?
ANSWER
Entertainment, especially movies and radio, was a lucrative
industry during the Depression. New movie theatres had
regular patrons; nearly 90 percent of Americans owned
radios by 1940.
HOME
ASSESSMENT
continued . . .

S E C T I O N
5
The Impact of the New Deal
The New Deal affects American society not only
in the 1930s but also in the decades that follow.
KEY IDEA
OVERVIEW ASSESSMENT
HOMEGRAPH

S E C T I O N
5
HOME
TERMS & NAMES
• Securities and Exchange
Commission (SEC)
• National Labor Relations
Board (NLRB)
• Federal Deposit Insurance
Corporation (FDIC)
• Tennessee Valley
Authority (TVA)
• parity
ASSESSMENT
OVERVIEW
The New Deal affected American
society not only in the 1930s but
also in the decades that followed.
Americans still debate over how
large a role government should
play in American life.
GRAPH

S E C T I O N
5
2. Some critics have charged that the New Deal was
antibusiness and anti-free enterprise. Explain why you agree
or disagree with this charge. Think About:
ANSWER
Agree: The New Deal weakened free enterprise business by increasing
regulations, taxes, union membership, and wages.
Disagree: It increased government spending, improved the economy,
provided hope, and aided free enterprise. continued . . .
• the expanded power of the federal government
• the New Deal’s effect on the economy
HOME
ASSESSMENT
• the New Deal’s effect on the American people
GRAPH

S E C T I O N
5
3. How successful do you think Franklin Roosevelt was as
a president?
ANSWER
Success: Roosevelt’s New Deal programs addressed the
crisis of the Depression and helped the country recover.
Failure: Roosevelt did not support civil rights for African
Americans. New Deal legislation stiﬂed free enterprise and
individual initiative.
HOME
ASSESSMENT
End of Section 5
GRAPH

23
The United States The World
1940 President Roosevelt is elected a third
time.
1935 Congress passes the Social Security
Act.
1935 Mussolini leads Italian invasion of
Ethiopia. British Parliament passes the
Government of India Act.
1937 Labor unions begin using sit-down
strikes.
1937 Japan invades Northern China.
Hindenburg disaster
1939 The Wizard of Oz is released in movie
theaters.
1939 Germany invades Poland.
TIME LINE
HOME
1933 Franklin Delano Roosevelt is
inaugurated.
1933 Hitler and the Nazi party come to
power in Germany.
1936 President Roosevelt is reelected. 1936 Civil war begins in Spain.
1938 Route 66 is completed, linking
Chicago, Illinois, to Los Angeles, California.
1934 Congress creates the SEC to regulate
the stock market. Indian Reorganization Act
is passed.
The New Deal

FDR's New Deal Fights the Great Depression

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Editor's Notes