FDR and the New Deal ESSENTIAL QUESTION: How did the New Deal offer a new approach to confronting the Depression?
TEKS and Objectives We will… I will… (16D) compare the New Deal policies and it’s opponents’ approaches to resolving the economic effects of the Great Depression (16E) describe how various New Deal agencies and programs (19A) evaluate the impact New Deal legislation on the historical roles of state and federal government (19B) explain constitutional issues raised by federal government policy changes and judicial branches of government (26D) identify the political, social, and economic contributions of Eleanor Roosevelt to American society Complete a graphic organizer summarizing important people, events, and ideas from the Great Depression
The Great Depression Overproduction Speculation Buying on Credit Causes Effects Overproduction Speculation Buying on Credit Hawley Smoot Tariff Stock Market Crash Dust Bowl Business Failures High Unemployment Bank Failures Increased Suicides Homelessness Poverty
President Herbert Hoover “Economic depression cannot be cured by legislative action or executive pronouncement.” “Rugged Individualism” Americans should pull themselves “up by their bootstraps” Laissez-Faire Economics Government should not interfere in the economy Bonus March WWI veterans protested for early payment of bonus Hoover sent U.S. Army to stop protest
Presidential Election of 1932 Herbert Hoover (REP) Very unpopular for failing to act during the Great Depression Franklin D. Roosevelt (DEM) Governor of New York Promised Americans a NEW DEAL to put them back to work Landslide victory
A New Style of Leadership “…the only thing we have to fear is fear itself…” “Fireside Chats” Radio addresses to the American people Restored public confidence with his optimism
Roosevelt’s Health Diagnosed with Polio at 39 Disease that affects the nerves and spine Could only walk short distances with crutches Made him sympathetic to suffering of others
First Lady Eleanor Roosevelt President’s eyes and ears traveled throughout the country and around the world Spoke strongly for women’s rights, the cause of peace, and the poor
Women in the Great Depression Mothers and Homemakers Cooking, cleaning, caring for children Had to quietly make ends meet It’s Up the Women Book by Eleanor Roosevelt Called on women to pull their families through the crisis Frances Perkins (Secretary of Labor) First female member of the U.S. Cabinet Played in a key role in passage of important legislation
New Deal Legislation: Relief, Recovery, Reform First Hundred Days FDR called Congress in to a special session Virtually all of the important bills he submitted were enacted Bills were intended to provide the R’s – Relief, Recovery, Reform
New Deal Legislation: Relief, Recovery, Reform Ease suffering of the needy Recovery Increase production and consumer spending Reform Prevent another depression in the future
New Deal Programs Federal Deposit Insurance Corporation (FDIC) Insured bank deposits so people will not lose savings if bank fails Social Security Administration Provided workers with unemployment insurance, old age pensions, and life insurance if they died early Securities and Exchange Commission (SEC) Regulated the stock market, prevented fraud, and guarded against another crash
“Alphabet Soup” Agencies Public Works Administration (PWA) Created federal jobs by building public projects Schools, roads, courts, post offices, bridges Civil Works Administration (CWA) Created manual labor jobs for the unemployed Civilian Conservation Corps (CCC) Gave jobs to young men Planting trees, cleaning up forests Lived in camps and received free food Most pay sent to parents The programs created government jobs
Critics of the New Deal Huey Long, U.S. Senator Promised $5,000/year to American families by taxing the rich Father Charles Coughlin Called for nationalization of banks and utilities Francis Townsend wanted $200/month pensions for citizens 65 and older
U.S. Supreme Court Schechter Poultry v. U.S. (1937) National Industrial Recovery Act (NIRA) gave President power to regulate interstate commerce First Agricultural Adjustment Act Government paid farmers to plant less Hoped to increase crop prices Supreme court ruled that even during a national crisis, Congress cant’ give President more power than granted by Constitution
U.S. Supreme Court Court-Packing Scheme Roosevelt proposed plan to allow President to add a new appointment for every Justice over 70 Roosevelt could have appointed 6 Justices if approved Condemned by the public/rejected by Congress