Last Days of the New Deal

Learning Objectives Explain what caused the Recession of 1937. Identify criticisms of the New Deal. Recall effects the New Deal had on employment, society and the economy. Identify New Deal Achievements

The Recession of 1937 Years of massive government spending Industrial production, employment down Period of slow business, economic activity Recession

Recession (cont’d) Wanted a balanced budget FDR concerned about the rising national debt Expenses higher than revenue(income) 1933 - $21 Billion 1940 - $43 Billion

Why was this result predictable?

Unions Triumph New Fed. Policies under the 1935 Wagner Act made union membership more attractive 1933 – 3 million 1941 – 10.5 million Wagner Act legalized collective bargaining, created the National Labor Relations Board (NLRB) and increased union activity

Era of Strikes Wagner Act leads to a wave of strikes Legalized collective bargaining Meant to bring about peace, led to strikes Sit-Down Strike-refused to leave building Some effective, some not

FDR and the Supreme Court The Conflict: · The Supreme Court ruled that many New Deal laws were unconstitutional. Ex.) AAA

· After winning the 1936 presidential election, FDR proposed increasing the number of Supreme Court Justices from 9 to 15. February 14, 1937, Waterbury (CT) Republican, "Do We Want A Ventriloquist Act In The Supreme Court?"

Social Security Payments were low, discriminated against women Amendments made to increase frequency of pay, coverage extended to farm workers, disability coverage added

Criticism of the New Deal Republicans in Congress were especially opposed to the New Deal Too much government intervention Reform had gone too far Social Security and other New Deal Programs infringed upon individual freedoms “Unconstitutional, Un-American”

Entertainment in the 1930s

Radio

Movies Optimistic films about common people who triumphed over evil.

Comedies were very popular also.

Movies The one-time greatest box office hit transported Americans out of the gloom of the Depression into a happier time.

No one understood the needs of depression-era audiences better than Walt Disney.

Movies

The Big Idea The New Deal had failed to address the economic depression, but it did have a lasting effect on many aspects of American life.

Effects of the New Deal Infrastructure Federal Agencies – FDIC Bridges, dams, buildings, tunnels Federal Agencies – FDIC PUT PEOPLE BACK TO WORK

People of the 1930s

The WPA and the Arts

The WPA and the Arts The government gave the unemployed, work in building construction and arts programs. It employed a large number of artists and writers.

The WPA and the Arts

Greatest Legacy of the New Deal Hope