Criticism & Reformulation The Second New Deal Section 2 Ms. Garratt

Works Progress Admin. Bldg projects included construction of hospitals, schools, airports, etc Employed teachers, artists, actors Painters designed murals San Antonio beautification project stimulated the economy Provided jobs to 8million in 5 years

Social Security Act In 1935 the gov accepted direct responsibility for meeting the needs of its citizens Pension plan for elderly orphans Survivor benefits Benefits for those injured on the job Monthly payments ranged from $12-85 Millions, however, did not qualify particularly minority groups

Signing the Social Security Act

National Labor Relations Board Aka the Wagner Act Established after Supreme Ct ruled that the NIRA was unconstitutional Workers lost the right to unionize and bargain collectively The Wagner Act restored those workers’ rights Unions increased during the ’30s

Soil Conservation Act 1936 Supreme Court also struck down the AAA So FDR proposed the Soil Conservation Act Under this law the subsidy paid to farmers not to plant crops would come from the Treasury not from a processing tax

Rural Electrification Act 1935 Lent money to farmers who organized to build power plants. Utility companies had refused to extend service to rural areas because it wasn’t cost-effective Before the REA fewer than 1 in 10 had electricity – by 1940 90% had electricity

Public Utility Holding Company Act Reduced holding company control of utility companies Helped eliminate corruption and inefficiency Reduced consumer costs Enraged business owners who felt gov had too much control over business

Revenue Act of 1935 FDR proposed raising taxes on wealthy corporations and individuals Angered business leaders but convinced millions of Americans that FDR was on their side.

Protests of Tenant Farmers Tenant farmers were negatively impacted by the AAA Landowners didn’t share the gov subsidy so tenant farmers lost their jobs & became homeless Tenant farmers formed the interracial Southern Tenants Farmers Union (STFU) Met with strong opposition due to interracial component

Southern Tenants Farmers Union They were unfairly hit hard by AAA Subsidies given to landowners were not shared with them They were usually kicked off land as part of the policy to reduce agric output Promoted nonviolence and was racially integrated group which generated opposition Harrassed by law enforcement & landowners Only rec’d verbal support from FDR

J.R. Butler, Pres of STFU

Members of STFU

Criticism Critics included liberals and conservatives Liberals didn’t think the two New Deals when far enough. Conservatives felt gov assumed too much power regulating business – feared that gov was becoming socialist

Frances Townsend Wanted gov to give each person over 60 $200 a month on condition they spend it all in 30 days. This would aid the elderly and stimulate the economy with its trickle-down-effect. Would stimulate demand for goods which would decrease unemployment Had 5 million supporters His plan was defeated in Congress in 1935

Dr. Frances E. Townsend

Charles Coughlin Demogogue who gained power by appealing to people’s prejudices & fears Wanted nationalization of banks to be run like postal service Called FDR “liar” and “great betrayer” because FDR did not agree with him Had weekly radio show w/ 30 m listeners Was anti-semitic and blamed Jews for the Depression In 1942 Church pulled the plug on his show

Father Charles Coughlin

Huey Long Won immediate popularity when as Louisiana governor he raised taxes to fund schools, hospitals for the poor & build roads & bridges in impoverished areas As US senator he abolished LA local gov and ran it from DC, putting himself in control Launched Share Our Wealth campaign which would confiscate all income over $5m and redistribute it so that every family had $5,000 a year

Huey Long – Share the Wealth

Attack from Conservatives

Support

1936 Reelection Reelection was geared toward middle & lower classes His opponent, Alfred Landon, supported New Deal legis but said he would run it more efficiently FDR won by a landslide with 60% of all voters. Seen as mandate for his New Deal programs

Court-packing Bill 1937 The Supreme Court had declared some New Deal programs unconstitutional In order to have a more sympathetic Sup Ct FDR proposed a bill to add 6 more judges to the Court. Stated he was just trying to ease the Court’s workload. This bill provoked a lot of criticism from both parties & was seen as an attempt to interfere with the judicial process & the separation of powers.

Fair Labor Standards Act 1938 By 1937-38 FDR’s political momentum was slowing down However, this act regulated wages & working hours FDR also had to focus more time on events in Europe

The end section 2