1. Ch The First New Deal

2. Roosevelt’s Rise to Power
Franklin D. Roosevelt’s education (FDR)
- Harvard educated (“C” student), wealthy family

3. Roosevelt’s Rise to Power
Franklin D. Roosevelt’s education (FDR)
- met wife Eleanor Roosevelt at Harvard

4. Rise To Power FDR’s former political position
- Democrat V.P. nominee (1920)
- N.Y. Gov. (1928); he opened up relief agencies for the unemployed
FDR’s medical setback
- Developed polio at 39 losing ability to walk;
- he used it as motivation

5. Rise to Power Election of 1932
- FDR (Democrat) defeated Hoover (Rep.) in a landslide promising a “New Deal” to America
The New Deal
- FDR’s “plan” for ending the depression w/ massive gov’t intervention
- consisted of the “3 R’s”:
Relief – get people $ now
Recovery – reopen businesses
Reform – fix the broken system

6. FDR elected Winter of 1932-33 for banks
- FDR elected in Nov. but didn’t take office until March (4 months later) – Hoover was a lame duck – Pres. with little power
- During the winter, unemployment rose and bank runs continued
- Country was leaderless

7. FDR elected State governors declare Bank holidays
- shut down some banks to prevent runs
FDR’s famous inaugural quote
- “the only thing we have to fear is fear itself”

8. The New Deal Begins The “Brain Trust”
- FDR’s advisors he gathered to end depression
FDR’s ‘agenda’ for attacking the Depression
- no set plan
- used bold persistent experimentation
(like a coach, try something new if the old isn’t working)

9. The New Deal Begins Hundred Days
- First 100 days in office, Congress passed 15 major acts to resolve economic crisis (known as the 1st New Deal)

10. A Divided Administration
FDR asks for different perspectives
- to get different viewpoints

11. Banks and Debt Relief FDR’s very first action as President
- fix and restore confidence in the banks
Emergency Banking Relief Act
- shut down all banks for 4 days to inspect them
- only healthy banks could open

12. Banks and Debt Relief Fireside chats
- weekly radio broadcasts for confidence
- 30 chats, 1st one on Mar.12th, 1933

13. Security and Exchange Commission -- SEC
Securities Act of 1933
- requires companies to provide truthful investment info to the public
SEC – Security and Exchange Commission
- gov’t agency that regulates stock market and prevents fraud – still around

15. Federal Deposit Insurance Corporation -- FDIC
Protects bank deposits w/ gov’t insurance up to $5000 (today it is $250,000)

16. Home Owners Loan Corp.-- HOLC
Gov’t agency which bought people’s mortgages and lowered their payments
1 out of 10 homeowners took advantage