Critics of FDR and the New Deal

II. The New Deal’s Critics II. The New Deal’s Critics 1. Does Too Much Republicans opposed • New Deal goes too far. • Many wealthy people regard FDR as their enemy. • American Liberty League - New Deal limits individual freedom, is unconstitutional & socialistic A number of Republicans in Congress and elsewhere oppose Roosevelt. They know something has to be done, but believe the New Deal has gone too far. These critics included the many wealthy people who regarded FDR as their enemy. They believe many of his programs as socialistic, like the Tennessee Valley Authority and this rural electrification program. --The Second New Deal gave them even more to hate. FDR pushed through a series of higher taxes aimed at the rich. One of these was the Revenue Act of 1935 aka the Wealth Tax Act. It raised the tax rate on incomes over $50,000 and profits of corporations. Many rich called him a “traitor to his class” --SS Many claimed that SS penalized successful, hardworking people by forcing them to pay into the system. Others feared a control of society because everyone had a number. - A group called the American Liberty League led much of the opposition toward Roosevelt.

II. The New Deal’s Critics 2. Doesn’t Do Enough Progressives & Socialists - • Upton Sinclair - economic system must be reformed. - ran for gov. of CA • Demagogues - Father Coughlin - attacked FDR & Jews - Dr. Frances Townshend - called for monthly pensions for the elderly - Huey Long - LO gov. Called for a redistribution of wealth 1. Does Too Much Republicans opposed • New Deal goes too far. • Many wealthy people regard FDR as their enemy. • American Liberty League - New Deal limits individual freedom, is unconstitutional & socialistic Upton Sinclair believed that the nation’s entire economic system needed to be reformed in order to cure that he believed to be a “permanent crisis.” A socialist, he sought solutions that went far beyond New Deal -style reforms. In 34, he ran for Governor of CA. His platform was “End Poverty in California”EPIC. He called for a new economic system in which the state would take over factories and farms. - He was popular and won the Democratic primary. But his opponents then used shady tactics to discredit him. They produced fake newsreels showing people with Russian accents endorsing Sinclair. Being that he was associated with communism, he lost the election. -Demagogues -leaders who manipulate people with half-truths, deceptive promises and scare tactics. Here’s three of them. --Father Coughlin (CAWG-lin) called the Radio Priest for his weekly radio broadcasts. He had more than 10 million listeners. He sometimes contradicted himself - onetime advocating the nationalization of banks, another the sanctity of private property. He first supported FDR and the new deal, later he would demonize it and call FDR a betrayer and a liar. By the end of the 30s, he was openly anti-Jewish and praised Hitler and Mussolini. In 42, the Catholic Church ordered him to stop. -Dr. Frances Townshend - The plan called for a guaranteed monthly pension of $200 (a quite-considerable sum in 1930s, to every retired citizen age 60 or older, to be paid for by a form of a national sales tax of 2% on all business transactions) - influence FDRs SS program. -Another was Huey Long. . Click for Video.

II. The New Deal’s Critics 2. Doesn’t Do Enough Progressives & Socialists - • Upton Sinclair - economic system must be reformed. - ran for gov. of CA • Demagogues - Father Coughlin - attacked FDR & Jews - Dr. Frances Townshend - called for monthly pensions for the elderly - Huey Long - LO gov. Called for a redistribution of wealth An embedded link to a 3:23 minute Hewy Long Youtube video begins here. Mac users, click on black circle to open browser and view a 3:23 minute Hewy Long Youtube video. Original link: https://www.youtube.com/watch?v=OZjYP hAjs0Y&feature=youtu.be Upton Sinclair believed that the nation’s entire economic system needed to be reformed in order to cure that he believed to be a “permanent crisis.” A socialist, he sought solutions that went far beyond New Deal -style reforms. In 34, he ran for Governor of CA. His platform was “End Poverty in California”EPIC. He called for a new economic system in which the state would take over factories and farms. - He was popular and won the Democratic primary. But his opponents then used shady tactics to discredit him. They produced fake newsreels showing people with Russian accents endorsing Sinclair. Being that he was associated with communism, he lost the election. -Demagogues -leaders who manipulate people with half-truths, deceptive promises and scare tactics. Here’s three of them. --Father Coughlin (CAWG-lin) called the Radio Priest for his weekly radio broadcasts. He had more than 10 million listeners. He sometimes contradicted himself - onetime advocating the nationalization of banks, another the sanctity of private property. He first supported FDR and the new deal, later he would demonize it and call FDR a betrayer and a liar. By the end of the 30s, he was openly anti-Jewish and praised Hitler and Mussolini. In 42, the Catholic Church ordered him to stop. -Dr. Frances Townshend - The plan called for a guaranteed monthly pension of $200 (a quite-considerable sum in 1930s, to every retired citizen age 60 or older, to be paid for by a form of a national sales tax of 2% on all business transactions) - influence FDRs SS program. -Another was Huey Long. . Click for Video.

II. The New Deal’s Critics Roosevelt received criticisms not only for his programs, but also for his actions. No act aroused more opposition that his attempt to”pack” the Supreme Court. The Supreme Court was a pain in Roosevelt’s butt. They had invalidated the NIRA, the AAA and many progressive reforms. In February of 37, Roosevelt proposed a major court-reform bill. -the Constitution had not specified the number of Supreme Court justices. Congress had last changed the number in 1869 to 9.- the number had been well established. Roosevelt said he just wanted to lighten the burden of the aging justices, and asked congress to allow him to appoint as many as six additional justices, one for each justice of 70 years old. --His real intention was to pack the Court w/judges supportive of the New Deal. --HE WAS BLASTED... From both sides. Notice the Date - Dictators, Hitler and Mussolini are on the rise. Critics charged FDR was undermining the constitution principle of separation of powers, increasing his power as president. How far would he go? Republicans and now Southern Democrats were against him. - eventually the older judges retired, allowing him to appoint justices who favored the new deal. By time FDR died in 1945 he had appointed all 9 justices to the Supreme Court. 3. Court Packing • Most judges were Republican appointees • FDR tried to add 6 extra judges to Supreme Ct. • unpopular w/Dems & Repub. - lost popularity.

III. End of the New Deal III. End of the New Deal 1. Recession of 1937 Why? - SS tax shrank people’s paychecks, thus spent less. - large national debt forced FDR to cut govt. spending - cuts caused recession Click to View an embedded link to a 2:18 minute New Deal Legacy Youtube video.(After talking about Recession of 1937) Mac users, click on black circle to open browser and view a 2:18 minute New Deal Legacy Youtube video. Original link: https://www.youtube.com/watch?v=Rc0UC txed7Y August of 37, the economy collapsed again. Industrial production fell, and so did employment levels. The nation entered a recession. The new SS tax was partly to blame. The new tax came directly out of workers’ paychecks, through payroll deductions. With less money, Americans bought fewer goods. 2. Americans also had less money because FDR had to cut way back on expensive programs such as the WPA. He had become distressed at the rising national debt, or the total amount of money the Fed gov. borrows and has to pay back. The national debt rose from $21 billion in 1933 to $43 billion in 1940. --FDR would then expand the WPA and other programs to make more jobs.

III. End of the New Deal III. End of the New Deal 1. Recession of 1937 Why? - SS tax shrank people’s paychecks, thus spent less. - large national debt forced FDR to cut govt. spending - cuts caused recession An embedded link to a 2:18 minute New Deal Legacy Youtube video begins here. Mac users, click on black circle to open browser and view a 2:18 minute New Deal Legacy Youtube video. Original link: https://www.youtube.com/watch?v=Rc0UC txed7Y August of 37, the economy collapsed again. Industrial production fell, and so did employment levels. The nation entered a recession. The new SS tax was partly to blame. The new tax came directly out of workers’ paychecks, through payroll deductions. With less money, Americans bought fewer goods. 2. Americans also had less money because FDR had to cut way back on expensive programs such as the WPA. He had become distressed at the rising national debt, or the total amount of money the Fed gov. borrows and has to pay back. The national debt rose from $21 billion in 1933 to $43 billion in 1940. --FDR would then expand the WPA and other programs to make more jobs.