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Minorities and the New Deal
Exam focus: AQA Elizabeth Francis Philip Allan Publishers © 2016
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AQA 1K, The making of a superpower: USA, 1865–1975
9 March 1933 12 March 1933 To consolidate all federal agricultural credit agencies Civilian Conservation Corps It made up 30% of the labour force. Roosevelt had a personal interest in agriculture. Increasing the purchasing power of the agricultural workforce would stimulate industrial recovery. To make farming more efficient and to eradicate overproduction It brought all agencies into one body — the Farm Credit Administration — and created the Emergency Farm Mortgage Act which loaned money to farmers in danger of losing land. An agency set up to harness the power of the Tennessee river. It modernised and improved living standards and increased average income by 200%. Homeowners Refinancing Corporation, June 1933, helped homeowners in difficulty by offering new mortgages at lower rates. Federal Housing Administration, June 1934, offered federal insurance on low-interest, long-term mortgages taken out by those buying new homes. Philip Allan Publishers © 2016
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AQA 1K, The making of a superpower: USA, 1865–1975
Indian Reorganization Act (1934) encouraged Native American culture, controlled land sales and new tribal corporations were set up to manage tribal resources. But 75 out of 245 tribes vote against the legislation. Minimum-wage rates were set at a lower level for black than white workers. Trade unions also discriminated against black workers. Some African American sharecroppers were able to buy their own land through its compensation and credit schemes. But many illiterate black people were easily cheated and tricked when it came to allocating funds. The policies led to the eviction of large numbers of African Americans and to the unemployment of Hispanic American labourers. The AAA attempted to resolve the problem of plummeting agricultural prices by cutting production, destroying crops where there had been some degree of overproduction and putting areas of land out of use. As more acres were taken out of production, the need for farm labour fell. This affected Hispanic Americans. Frances Perkins became the first female member of cabinet. Minimum wages were established by the Fair Standards Act (1938) but wage differentials still existed. Commissioner for Indian Affairs The creation of a pension fund for retired people over the age of 65. In 1937 employers and workers began paying contributions to set up a social security fund, and by 1940 the fund was paying out small retirement pensions. Philip Allan Publishers © 2016
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