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The Second New Deal Chapter 22 Section 2

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1 The Second New Deal Chapter 22 Section 2
Standard: 8.6- Identify New Deal Programs/Initiatives What were the key programs in the Second Hundred Days? With public support for the president and the New Deal running high, the Democratic Party rolled to an unprecedented victory in the congressional elections of For the first time in US history, the part in control of the White House gained seats in both houses of Congress in a midterm election. However, the courts were in the process of finding major parts of the New Deal unconstitutional. .

2 Morning Work September 22, 2016
1st Period Agenda Write questions What was the Agriculture Adjustment Act? What is a subsidy? Morning Work Finish Social Security Act Lecture: Second New Deal Great Depression quiz: Covers chapter 19, 20, 21, and 22

3 Morning Work September 21, 2016
2nd/3rd Period Agenda Write questions What was the Agriculture Adjustment Act? What is a subsidy? Morning Work Lecture: Second New Deal Great Depression quiz: Chapters 19, 20, 21, & 22

4 What is Social Security?
Where does money for social security come from? Where did Huey Long think the money should come from? Where did Townsend think the money should come from?

5 The Second Hundred Days
Spring 1935 Raised taxes on the wealthy Funded new relief programs Emergency Relief Works Progress Administration (WPA) – largest peacetime jobs program in U.S. history The economy was proving stubbornly resistant to recovery. Meanwhile, more-liberal elements in the country were clamoring for the president to do more. And he did more. In the spring of 1935, during a period called the Second Hundred Days, Roosevelt launched the so-called Second New Deal. In short order, Congress passed laws extending government oversight of the banking industry and raising taxes for the wealthy. It funded new relief programs for the still-struggling population. The major relief legislation of the 2nd New Deal marked a shift from Roosevelt’s earlier programs. The Emergency Relief Act largely did away with direct payments to Americans in need. 2nd New deal expanded on what been a small but successful part of the 1dt New Deal: work relief. WPA: eventually employed 8.5 million Americans on all kinds of public-works projects at a cost of about $11 billion. They built roads, subways, airports, even zoos. They worked in offices, factories, schools, and museums. Even funded the efforts of artists, writers, composers, and actors. A number of soon-to-be famous figures got their starts in the program/ At the peak the WPA employed some 3.4 million formerly jobless Americans. This amounted to nearly a fourth of the unemployed people in the country. As Roosevelt had hoped, getting an opportunity to earn a paycheck rather than get a handout lifted people’s spirits.

6 The Second Hundred Days
Social Security Provided guaranteed, regular payments for many people 65 and older Included a system of unemployment insurance Social Security Act Signed in August 1953. Created a system called Social Security, which provide pension, or guaranteed, regular payments, for many people over the age of 65. With this act many retried workers no longer needed to fear homelessness and hunger once they became too old to work. The Act also included a system of unemployment insurance run jointly by the federal government and the states. This program provided payments to workers who lost their jobs, giving them a financial cushion whole they looked for new work. Funding for S.S. became the problem: Congress passed new taxes that affected both workers and employers. To avoid a huge tax hike that could hamper economic recovery, Roosevelt agreed to exclude certain workers from the new program. In the end, millions of Americans, including farm workers, household workers, and government employees were left out of S.S.

7 Reviving Organized Labor
The Committee for Industrial Organization (CIO) was born in 1935. Led by John L. Lewis After setbacks during the 1920s, the passage of the NIRA during the first New Deal marked a major step forward for organized labor. It guaranteed the workers the right to form unions and bargain collectively. Yet many businesses ignored new rules. In 1934, unions lost a number of major strikes, as labor-related violence increased. When NIRA was weakened by the Supreme Court ruling in Schechter v U.S., Roosevelt recognized the need to act on behalf of labor. He threw his support behind a new labor law, the Wagner Act. The law AKA National Labor Relations Act, was stronger than the NIRA. NLRA: Outlawed a number of anti-labor practices, such as the creation of company-sponsored unions. It also established a powerful new National Labor Relations Board. The NLRB was given the authority to conduct voting in workplaces to determine whether employees wanted union representation. The NLRB could require the businesses to accept the results. Organized Labor membership increased by million in the yrs to come. The nation’s largest union was the AFL it was created as a collection , or federation, of smaller unions representing the interests of skilled workers. The AFL looked down on unskilled workers, many of whom were immigrants. The growth of mass production in the 20s, swelled the ranks of unskilled workers. John Lewis, head of the United Mine Workers sought to take advantage of this opportunity. Lewis led a group that broke away from the AFL in 1935 to form the CIO.

8 GM Sit-Down Strike The United Auto Workers (a division of the CIO) launched a successful sit-down strike in 1936 Lasted 6 weeks and GM recognized their union In December 1936 the United Auto Workers, which was part of the CIO, launched a new kind of strike. Workers at GM plant in Michigan, simply sat down inside the factory and stopped working. GM Sit-down strike: Sit-down strike required the strikers to stay at the factory day and night until the dispute was resolved. They relied on supporters outside the factory to provide food and to look after the families at home. GM could not use traditional methods of strike breaking-bring in security forces to scatter the picket line and hiring non union “scabs” labor to run the factory. Any effort to take back the factory might turn violent. Valuable property inside the factory could be destroyed, and the risk of negative publicity, such as images of workers being beaten or killed, was too high. GM asked the state govn’t for help but Michigan's government refused. The company tried shutting off heat and water but the strikers stayed. The shutdown cost the automaker tens of millions of dollars a week in sales. After a tense 6 weeks GM finally agreed to recognize their union. The workers had won. It was a big victory for labor-and for the CIO.

9 Election of 1936 Roosevelt Rural Electrification Act Election of 1936
Provided electricity to millions of rural Americans 10%-90% in a decade Election of 1936 FDR showcased his achievements As Roosevelt entered the election year of 1936, he could look back on a productive He also knew there was more to be done. One goal was to provide additional help to rural Americans. FDR in May signed the REA Empowered the Rural Electrification Administration to loan money to farm cooperatives and other groups trying to bring electricity to people living outside the cities and towns. Under the REA, the numbers of rural homes w/ electricity grew from 10% to 90% in about a decade. Millions of farmers were finally able to enjoy the benefits of electricity. FDR Campaigned on a solid record of legislative achievement. He also pointed to the significant improvements in the economy. Unemployment, still high, had been cut in half. New Deal programs had given hope to millions.

10 Election 1936 Critics Results Overly bureaucratic
Republican nominee Alf Landon did not pose a serious threat. Results A tremendous victory for Roosevelt Democrats gained seats in both houses of Congress. Republicans argued that the New Deal was overly bureaucratic and was creating a planned economy. American Liberty League tried to stop Roosevelt’s attack on big business. Republican Alf Landon did not pose a serious threat.

11 Moving Forward FDR’s attempt to “pack” the Supreme Court (1937)
Farm Tenancy Act Gave tenant farmers and sharecroppers a chance to buy land of their own. Help from Supreme Court March 1937: Court upheld Washington State law requiring minimum wage for workers May1937: declared Social Security Act constitutional Never before had FDR seem more in command that when he begun his 2nd term. Gave the president power to appoint many new judges and expand the Supreme Court by up to six judges Roosevelt argued that changes were needed to make the courts more efficient Most observers saw plan as effort to “pack” the court with friendly justices. Farm Tenancy Act: Aided tenant farmers and sharecroppers many had been forced off the land as a result of new deal programs that paid landowners to take fields out of production. The new law gave tenants/sharecroppers a chance to buy land of their own. FDR also won victories in unlikely place- the Supreme Court. Court handed down rulings that favored the New Deal. Plan did not pass; however, the Supreme Court made some rulings that favored New Deal legislation. Supreme Court upheld a minimum wage law in Washington state. Court ruled in favor of a key element of the Wagner Act. Court declared Social Security plan to be constitutional

12 Economic Downturn of 1937 2 million more Americans had lost their jobs
Roosevelt wanted to cut back on government spending. Concerned about the budget deficit The economy did begin to rebound in the summer of 1938 In the fall of 1937, the nation’s economy suffered another setback. It began w/ a sharp drop in the stock market. By the time the year was over some 2 million more Americans has lost their jobs. The return of hard times changed Roosevelt’s plans. He had hoped to cut back on government spending, fearing the growing federal budget deficit. A deficit occurs when a government spends more money than it takes in through taxes and other income. But as unemployment rose in late 1937 and early 1938, Roosevelt found himself seeking large sums of money to help the unemployed. The new spending was supported by British economists John Maynard Keynes. He urged that deficit spending could provide jobs and stimulate the economy. In fact, the economy did begin to rebound in the summer of By, then however, the positive feelings about Roosevelt and the New Deal had begun to fade.

13 Exit Slip WRITE THE QUESTIONS What was the Social Security Act?
What was the Wagner Act? What was the job of the National Labor Relations Board? What was the CIO? Why was the GM Strike of 1936 different?

14 Morning Work March 7, 2013 WRITE the QUESTIONS 1st/2nd Period
What was the Social Security Act? What was the goal of the Second New Deal? 1st/2nd Period Great Depression Quiz WWII in HD 3rd Period: Mid-term


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