1. VA and US History Responses to the Great Depression Lecture Notes: Week 10 Lesson 3 Standard VUS.10d

2. Bell Ringer Imagine a bold new leader takes control of the government with a plan to revive the country you love. He declares that he has found the group of people responsible for your country’s depression, that he will put all the unemployed back to work and punish those who were responsible for all of the misery your country has been through in the past decade. Imagine you lived through the Great Depression…answer the following questions in 3 to 5 complete sentences: How would you feel about this leader if he delivered on his promises? What would you recommend for the guilty party or parties?

3. Key Points The New Deal Roosevelt vs. Hitler The Reagan Revolution

4. How it all Works in General: Government promotes a healthy economy characterized by full employment and low inflation through the actions of  Federal Reserve – Decides how much money will be in circulation And how high interest rates will be on loans  President and Congress - Determines how high taxes will be and who will pay what share Determines how much of that tax money will be spent and where it will be spent

5. Election of 1932 Hoover is crushed in the election because too many Americans blamed him for the Depression.

7. New Deal (Franklin Roosevelt) This program changed the role of the government to a more active participant in solving problems.  Roosevelt Promised to create new government jobs  A response to cries for socialism

8. Quote of the Day: Speaking to Rich and Poor, FDR said: “We have nothing to fear, but fear itself.”

9. National Industrial Recovery Act (NIRA) June 16, 1933 Established codes of fair competition aimed at supporting prices and wages and stimulating economic revival from the Great Depression.

10. National Recovery Administration Created by the National Industrial Recovery Act Developed by President Franklin D. Roosevelt and his Administration pushed industries to make codes and rules for "fair competition". It gave more rights to workers and employees, and assisted industries as well as poor unemployed people of the early 1930s. The NRA established minimum wages and maximum labor hours. The NRA, symbolized by the blue eagle, was very popular with workers.

11. (WPA) Works Progress Admin. Headed by Harry L. Hopkins, it was a "make work" program that provided jobs and income to the unemployed during the Great Depression. WPA projects primarily employed blue-collar workers in construction projects across the nation, but also employed white- collar workers and artists on smaller-scale projects, and even ran a circus.

13. Civilian Conservation Corps (CCC) Projects

15. Agricultural Adjustment Administration (AAA) Restricted production during the New Deal by paying farmers to reduce crop area. Its purpose was to reduce crop surplus so as to effectively raise the value of crops, thereby giving farmers relative stability again. The farmers were paid subsidies by the federal government for leaving some of their land idle

17. Federal Deposit Insurance Corporation (FDIC) The vast number of bank failures in the Great Depression spurred the United States Congress into creating an institution which would guarantee banks The FDIC guarantees checking and savings deposits in member banks up to $250,000 per depositor

18. Social Security Act (OASDI) Covers:  Those in Old Age  Survivors of spouse  Disability Insurance

19. The Fair Labor Standards Act ("FLSA") of 1938 FLSA established:  a national minimum wage,  guaranteed time and a half for overtime  and prohibited most employment of minors.

22. Fireside Chats Radio messages to the American people from President Franklin D. Roosevelt during the Great Depression. Sometimes beginning his talks with "My friends," Roosevelt urged listeners to have faith in the banks and to support his New Deal measures (a government program of economic recovery and reform). The "fireside chats" were enormously successful. Just as much as the economic changes he enacted, these chats restored faith in the American economy.

27. Government Responses to Cries for an End to the Depression Nazi Party grows in Germany because Nazi politicians promised to stop repaying France (reparations). Nazi Party blames Europe’s Jews for the economic collapse

29. Hitler’s Economic Tactics Once he gained control of the German government in 1933, Hitler adopted policies that were more interventionist (directly involved):  Developed a massive work-creation scheme that had largely eradicated unemployment by 1936.  Spent government money rebuilding the German Military even though the Treaty of Versailles said he could not.  Ignores reparations payments  Fixed prices on certain goods  Kept inflation down.

31. Hitler’s Results By 1939 the Germans’ Gross National Product was 51 per cent higher than in 1929.

34. Why do you think the German people were susceptible to Hitler’s message?

35. The Reagan Revolution President Reagan and conservative Republicans advocated for:  Tax cuts If businesses pay less in taxes, they will invest in improvements or expansions…  Transfer of responsibilities to state governments Small government Cut government spending on social projects Deregulate…cut spending for regulatory agencies they couldn’t eliminate  Appointment of judges/justices who exercised “judicial restraint” Strict interpretation of the Constitution  Strengthened American military

40. Conservative Stronghold The “Reagan Revolution” extended beyond his tenure in office with  the election of his vice president, George H. W. Bush  the election of a centrist Democrat, William Clinton  the Republican sweep of congressional elections and statehouses in the 1990s  the election of George W. Bush

44. Reagan’s “Supply Side” or “Trickle-down” economics did not have a positive effect on poverty levels in the US.

45. What do you notice about the growth rate of American productivity during Reagan’s two terms?

48. Activity Seabiscuit