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Section 1 FDR offers Relief and Recovery
Chapter 13 The New Deal Section 1 FDR offers Relief and Recovery
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Section focus How did the New Deal attempt to address the problems of the depression?
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Why it Matters Faced with economic crisis, countries around the world are turning to dictators for answers Italy- Benito Mussolini Japan- Emperor Hirohito Germany- Adolph Hitler America must prove democratic gov’t can overcome challenges
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Roosevelt takes Charge
1932 Hoover no chance to win 25% unemployment Bank closures Franklin Delano Roosevelt (D-NY) Wins election Relatively unknown NY governor Polio survivor Never recovered full use of legs Wife Eleanor
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“New Deal” FDR promises Americans a “New Deal”
“Election about philosophies not men” Defeats Hoover by 7 million votes Convinced gov’t needed a more active role Experiment to see what worked Puts together winning team “Brain Trust” Top professionals and academics try to solve problems 1st woman cabinet member (Sec of Labor) Frances Perkins
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First 100 days FDR passes 15 bills through Congress
“1st New Deal” – 3 goals Relief Recovery Reform Prevent future depression “fireside chats” FDR radio addresses explain to people what he’s doing
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Banks Bank failures are most immediate concern of people
People lose life savings Congress gives FDR authority to close banks for 4 days Fireside chat restores peoples faith in banks FDIC (Federal Deposit Insurance Corporation) Insures bank deposits up to 5k SEC (Securities and Exchange commission) Regulates stock market Market stabilizes
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Helping Farmers Agricultural Adjustment Act
Pays farmers not to plant some crops Ends over-production surplus TVA (Tennessee Valley Authority) Tenn river valley is poorest area of nation No elctricity, running water, sewage etc Build dams for hydroelectric Creates jobs Critics claim socialism Still around today
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CCC Civilian Conservation Corps
Provides jobs for over 2 million young men Replanted forest, dug irrigation ditches, fire fighters Allowed blacks and Mexicans
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NRA National Recovery Act
“Most important and far-reaching legislation ever enacted by congress” -FDR NRA develops codes of fair competition in industries Minimum wages Minimum prices prices for goods Idea = increase wages for and profits for business
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PWA Public works Administration Many still in use today
Built bridges, dams, power plants, and gov’t buildings Many still in use today
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Opposition to New Deal Not everyone a fan of New Deal
“makes government too powerful” Conservative don’t like People who want limited government American liberty League Populist don’t like Huey Long Socialist don’t like “Doesn’t go far enough” More government intervention
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Section focus How did the New Deal attempt to address the problems of the depression? It created several government programs that gave immediate relief to Americans, often through public works that provided jobs
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Video quiz 1. in the 1930’s American unemployment was 25%. What was the % in Louisville? 2. What two consumer products helped keep Louisville’s economy going in the 1930’s? 3. Describe the people who spend their days at train stations or coffee shops during the depression? 4. What happened to further hurt Louisville’s economy in 1937?
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