Chapter 37 The Great Depression and the New Deal

Election of 1932  Republicans nominated Herbert Hoover. Democrats nominated Franklin D. Roosevelt.  Franklin D. Roosevelt campaigned about his New Deal concerning the “forgotten man”, and Hoover campaigned about how “Prosperity Is Just Around the Corner”  This election showed an increase in support for the Democratic party by the African Americans  Roosevelt defeated Hoover.  Lame Duck Period  Hoover tried to involve Roosevelt in the presidential responsibilities. Roosevelt backed out of it claiming it wasn’t his time yet. As a result Hoover passed the 20 th amendment which shortened the period of time between the presidential election, and the inauguration.

Relief, Recovery, and Reform  The Hundred Days  government issued a lot of acts, in order to try and control the depression  It began with a national banking holiday; where the govt. closed all banks, in order to check their finances, and determine which was good enough to be reopened. The Emergency Banking Relief Act of 1933 which allowed to president to manage banking transactions, foreign exchanges, and to reopen bankrupt banks  Glass-Steagall Banking Reform Act  where the Federal Deposit Insurance insured deposits up to $5000  Lucky for Roosevelt the Congress was willing to pass everything he wanted.  Also his “fireside chats”, where Roosevelt reassured the public through the radio, boosted the confidence of the Americans

Unemployed Civilian Conservation Corps (CCC)  govt. provided employment for young man in government camps. Civilian Conservation Corps (CCC)  govt. provided employment for young man in government camps. Federal Emergency Relief Act- a Federal Emergency Relief Administration (FERA) headed by Harry L. Hopkins dealt with the unemployed; in the end gave money to states to give to the unemployed. Federal Emergency Relief Act- a Federal Emergency Relief Administration (FERA) headed by Harry L. Hopkins dealt with the unemployed; in the end gave money to states to give to the unemployed. Agricultural Adjustment Act- a lot of money was given to farmers to help pay their mortgages. Agricultural Adjustment Act- a lot of money was given to farmers to help pay their mortgages. Civil Works Administration (CWA)  gave temporary jobs to the unemployed Civil Works Administration (CWA)  gave temporary jobs to the unemployed Works Progress Administration (WPA)  found part time jobs for students, or other unemployed people, like artists. Works Progress Administration (WPA)  found part time jobs for students, or other unemployed people, like artists. Public Works Program (PWA)  headed by Harold L. Ickes; people were hired to work on government projects such as the building of highways. Public Works Program (PWA)  headed by Harold L. Ickes; people were hired to work on government projects such as the building of highways. National Recovery Admission (NRA)  codes of “fair competition” were established such as a set hours of labor, and better conditions; workers had the right to organize, and bargain collectively; This National Recovery Program was declared unconstitutional by the Supreme Court two years later though. National Recovery Admission (NRA)  codes of “fair competition” were established such as a set hours of labor, and better conditions; workers had the right to organize, and bargain collectively; This National Recovery Program was declared unconstitutional by the Supreme Court two years later though. Tennessee Valley Authority  people came to Tennessee to do public works. These people were then given electricity at lower rates than those given by companies. Tennessee Valley Authority  people came to Tennessee to do public works. These people were then given electricity at lower rates than those given by companies.

Farmers Farmers suffered from low prices, and overproduction Agricultural Adjustment Administration (AAA)  govt. paid farmers to not grow as much crops; Supreme court declared this unconstitutional in 1936 Soil Conservation and Domestic Allotment Act (1936)  govt. paid farmers to plant crops that conserved the soil, or just to leave the land alone. The Dust Bowl (1933)  when a period of dust storms struck the Midwest, farmers were devastated, and lost a lot. Many moved to California to escape these storms Resettlement Administration (1935)  passed to move farmers to better land

Securing the stock market, Housing reforms, and Social Security Securities and Exchange Commission (SEC, 1934)  regulation of the stock market, and place limitations on speculation Federal Housing Administration (FHA, 1934)  small loans were given to householders to improve their households, or to complete new ones United States Housing Authority (USHA, 1937)  money given to states or communities to build houses, and such. Social Security Act (1935)  a federal insurance company based upon the collection of taxes, would give money to the retired, and the unemployed.

Labor  National Labor Relations Act/Wagner Act (1935)  new National Labor Relations board, and gave the right for labor to engage in self organization, and to bargain collectively.  Unskilled works began to create unions; John L. Lewis formed the Committee for Industrial Organization (CIO), which changed into the Congress for Industrial Organization  Fair labor Standards Act 1938  industries had to set up a maximum wage, and maximum hour levels  Work by kids under sixteen wasn’t allowed

Election of 1936  Democrats nominated Franklin Delano Roosevelt, once again with plans for the New Deal  Republicans nominated Alfred M. Landon. Republicans stated how the New Deal was bad, and their plans for the nation was a lot better  In the end Roosevelt defeated Landon

The Supreme Court The Supreme Court had declared some of Roosevelt’s New Deal policies unconstitutional The Supreme Court had declared some of Roosevelt’s New Deal policies unconstitutional The Supreme Court was very conservative and didn’t often agree with Roosevelt. The Supreme Court was very conservative and didn’t often agree with Roosevelt. “Court Packing Bill” 1937  Roosevelt asked Congress to let him add a new justice to the supreme court for every judge who was over 70 and wouldn’t retire; Congress said no to this act “Court Packing Bill” 1937  Roosevelt asked Congress to let him add a new justice to the supreme court for every judge who was over 70 and wouldn’t retire; Congress said no to this act As a result of the Court Packing Bill, many of the justices voted in favor of Roosevelt’s ideals, in some cases that came up As a result of the Court Packing Bill, many of the justices voted in favor of Roosevelt’s ideals, in some cases that came up

Keynesian Economics  The New Deal in the beginning had been a bit successful, the economy was looking up, then in 1937 the economy went down again  Roosevelt decided to follow Keynesian Economics after this recession. He decided to employ “deficit spending”; the government would spend a lot of money to initiate economic growth  Reorganization Act (1939)  gave the President some power for administrative reforms  Hatch Act 1939  stopped federal administrative officials from active political campaigning

Actual Effects of the New Deal National Debt had increased American economy didn’t collapse Fairer distribution of national income Federal government grew, in power and in numbers