1. FDR and the New Deal
Chapter 12

2. “Priming the Pump”
Hoover was seen as largely unresponsive to the problems created by the Great Depression
Some of this has to do with his political/econ philosophy
Hoover was a believer in Laissez-faire
FDR believed the purpose of govt is to serve the people
See diagram…

3. First 100 Days
Because of the volume of legislation that FDR got passed in the first 100 days of this administration, all other Presidents have been measured by this standard

4. 3 main areas of the New Deal
Relief
Recovery
Reform

5. 1 st New Deal (1933-1936) Largely aimed at business
Focused on providing immediate relief
Bank holiday
Farm subsidies
Federal Emergency Relief Act (FERA)
Federal Deposit Insurance Corporation(FDIC)

6. More 1st new deal programs
Tennessee Valley Authority (TVA)
Civilian Conservation Corps (CCC)
Agriculture Adjustment Act (AAA)
National Recovery Act (NRA)

7. 2nd New Deal (1937-1940) Focus on Recovery FDR seen as more liberal
Begins to lose support of big business
Programs for labor, elderly, young
Works Progress Administration (WPA)
Wagner Act( allowed unions)
Sit-down strikes
Avoided replacement workers
Fisher Body plant, Flint, Michigan ( )
Held plant for months
Won right to have UAW as sole union representative
Social Security

8. Critics of the New Deal Huge new expansion of Federal govt
Problems should be handled at the State level
Too much spending?
Cut back some programs and there was a recession in 1937
Too much power in the Executive branch
Concerned with check and balance issues

9. Roosevelt and “Court Packing”
1937
Supreme Court was seen as anti new Deal
Struck down AAA
Several more programs were up for review
Roosevelt is angry (“nine old men”)
Sent Congress bill to increase number of justices
Force retirement of justices who served over 10 years (and age 70)
Roosevelt could get to appoint as many as six new justices

10. What happened? Congress got angry
Split the Democratic party (Southerners worried about segregation, African American leaders worried that future presidents would appoint justices opposed to civil rights)
Overreach of executive power
Supreme Court got the message?
Upheld constitutionality of Wagner Act and Social Security Act
Conservative justice resigned, Roosevelt appointed New Deal supporter

11. Legacy of the New Deal?
Did not do as much to end the Depression as is often claimed
Did change attitudes
Stronger sense of security and stability
Safety net was created for citizens
Many programs still exist today
Should they?
Argument over the role of government continues…