The United States during the 1930s. The New Deal The United States during the 1930s.

The Background – early 1930s During President Hoover’s government the Depression was in full swing. Unemployment was at 13 million, industries were closed, farms repossessed and the Dust Bowl was disastrous, banks shut down and the stock market had major difficulties. People couldn’t find work anywhere so the government had to act. People searched the newspapers for job adverts.

Hoover lost the 1933 presidential election and was succeeded by

A man who was to become one of the most successful and well liked presidents of all time

The Background Roosevelt soon came to the conclusion that a massive change in the American way of life was needed to tackle the problems. What was needed was a “The nation asks for action and action now.” New Deal “Our greatest primary task is to put people to work.”

Key Quotes: FDR’s Inauguration Speech Let me assert my firm belief that the only thing we have to fear is fear itself This Nation asks for action, and action now. Our greatest primary task is to put people to work. I shall ask congress for broad executive power to wage was against the emergency.

Action to End the Depression Emergency Banking Act Fireside Chats Beer Act - ended prohibition. The Alphabet Agencies How would ending Prohibition help FDR create jobs?

Components of the New Deal FDR’s plan to end the Great Depression Went after the Great Depression with the 3 R’s Offer relief Create recovery Build-in reform Restored hope Incorporated aspects of socialism Set wages Set prices Government run industries

broadcasts were called Fireside Chats These Fireside chats aimed to restore peoples’ confidence. These Fireside Chats were broadcast once a week over the radio. FDR would explain what he had done that week to help take action to end the Depression. Why do you think these broadcasts were called ‘The Fireside Chats?’

Fireside Chats ‘I can assure you that it is safer to keep your money in a reopened bank than under the mattress’ Why were people hiding their savings under their mattresses? Which Law did FDR get Congress to pass which stopped banks going bankrupt?

Reversing the Spiral of Depression Government Spending $ More Pay = More Taxes Alphabet Agencies More Jobs Cycle of Prosperity! Democrats called this Process ‘Pump Priming’ More Jobs More goods have to be produced More Spending Demand for goods increases Why not print this presentation out using the print handout command and select 3 slides per page. The students can then make notes as they go along! Demand for goods increases More Spending More goods have to be produced More people with Jobs = more pay $

Emergency Banking Act, 1933 This Act closed all of America’s banks They were inspected by government officials. Only banks that were properly run and had enough funds were be allowed to reopen after the bank holiday. Once a bank has been inspected, the government promised to compensate people if that Bank go bust in the future.

Stock Market Securities Act 1934 Companies had to be honest Faith in Securities Act 1933 Securities Act 1934 Stricter control Companies had to be honest

Destitute Federal Emergency Relief Act ( F E R A ) $500 million to state governments to provide relief Problems Successes

Destitute Unique – a move away from laissez faire Helped prevent starvation Won political support for the Democrats from the poor Lowered unemployment from 13 million to 6 million by 1941.

Farming – First Agricultural Adjustment Act Put up prices by creating artificial scarcity, ie killing livestock, ploughing up crops This was considered by many to be unconstitutional and an extension of federal powers. New Deal

Industry The New Deal introduced major breaks with traditional practices. N.R.A. Fair Labour Standards Act Social Security Act Wagner Act New Deal

Industry – N.R.A. The National Recovery Administration made:- Industry less cut throat in its operation Owners introduce a minimum wage Rules on the maximum working hours

Industry – N.R.A. Views There would be an increase in monopolies Owners such as Henry Ford said:- There would be an increase in monopolies It was unconstitutional The workers were pleased because:- It gave them greater security and bargaining power Elevated the position of the worker for the first time

Industry – Fair Labour Standards Act Set new standards so that:- Set a minimum wage of 40 cents an hour Set a maximum working week of 40 hours Banned child labor

Industry – Wagner and Social Security Acts The Wagner Act stated that workers could join a trade union The Social Security Acts established a contributory insurance program, for retired Americans.

Alphabet Agencies Roosevelt created a number of major agencies known by their initials. P.W.A. C.C.C. T.V.A. Some opponents called them Alphabet Soup. New Deal

The Alphabet Agencies CCC: Civilian Conservation Corps. AAA: Agricultural Adjustment Administration. TVA: Tennessee Valley Authority PWA: Public Works Administration. WPA: Works Progress Administration NRA: National Recovery Administration. Separate PowerPoint's will be made on each of these agencies. The aim of this PowerPoint is to cover the theory behind the New Deal

Tennessee Valley Authority T.V.A. The river Tennessee was transformed by Overturning years of deforestation and soil erosion by replanting and soil conservation. The building of a series of dams and canals. Flood prevention. Hydro electric power for homes and business.

Civilian Conservation Corps C.C.C. The first New Deal project introduced in March 1933 Created work for 2.5 million unemployed workers Led to tree planting and soil conservation Bridges, dams, nature trails and picnic areas were built Blacks were segregated and women excluded

Public Works Administration P.W.A. Laws passed in Congress. It was slow to get underway. Capital intensive rather than labor intensive – money to T.V.A. and other organizations. Built hospitals and roads and was involved in slum clearance.

Court Packing Roosevelt would face opposition, when he began to create a policy that would allow him to pick new Supreme Court Judges to get his New Deal Passed.

Success or Failure? Still 6 million out of work in 1941. The numbers fell due to enlistment and rearmament in WW2. Black people were segregated from white. Women were excluded from the New Deal. Tennessee benefited but many areas were still suffering. Reduced unemployment by 7 million Soil conservation schemes. The Stock Market and banks recovered. Transformed the Tennessee valley. Roosevelt was re-elected.