History IGCSE New Deal

Nov 1932 election result

Roosevelt wins 42 out of 48 states.

What did Roosevelt do in the 1932 elections

He made 16 major speeches and another 60 from the back of his train.

Why was Roosevelt popular

He promised Americans a “New Deal” and had a warm, inspiring personality.

What did Roosevelt do differently compared to Hoover

• More personal, used radio for fireside chats

• Provided more direct federal relief

• Took “priming the pump” further than hoover but FDR used it in a positive sense.

Term used to describe the gov’s deficit spending

"Priming the pump”

term for FDR’s trusted advisers

Brain trust

Fireside chats

FDR’s regular radio broadcast spoken to americans in a warm casual tone to explain his policies and rebuild morale.

How many pieces of legislation was passed in the first hundred days

15

The three Rs

Relief, Reform and Recovery

How much was deposited in banks by end of hundred days

1 million deposited in banks

Insured people’s deposits in banks

Emergency Banking Act 1933

How successful was the EBA

Very successful.

Federal checks carried out on banks: 5000 trustworthy banks reopened.

Reassured savers their deposits of up to $2500 would be returned if bank failed.

Consists of PWA and NRA and initial stages of wagner act

NIRA

What did Public Works Administration (PWA) do?

Spent $7 billion on public works projects and employed millions of men

National Recovery Administration (NRA)

Set up worker practices: hours worked, wages, unfair competition and outlawing child labour

How many workers were covered by NRA codes

16 million

what was the minimum wage introduced by the NRA

$0.25

Was the NIRA successful?

Yes. It helped unemployment and rebuilt the country’s infrastructure.

Limitation of the NIRA

Declared unconstitutional in 1935

Why was the NIRA declared unconstitutional?

A poultry business sold a sick chicken to a butcher and was caught violating worker laws and fairness

Term used for when FDR brought in pro new deal judges and when

Court Packing 1937

Negatives of FDR’s court packing

Made it seem like he was a dictator.

How many pro new deal judges were added to the supreme court

6

Agricultural Adjustment Act

paid farmers to limit the amount of crops grown

Was the AAA successful?

No. It wasted food- 6 million pigs slaughtered

Forced people out of land.

Stats for success of AAA

Between 1933-37, farm prices doubled

When was the AAA declared unconstitutional

1936

Redevelop the Tennessee Valley

Tennessee Valley Authority (TVA) 1933

What was built under the TVA

Dams, irrigation to reduce dust bowl.

TVA success stats.

Yes. It created employment

By 1945, 75% of households had electricity

Average income there increased by 200% by 1949

Civillian Conservation Corps

Employed jobless men between 18-25

What did the CCC men work on?

6 months in mountains and forests being taught forestry, flood control and fire prevention

How many men were in the CCC

3 million

Successes of the CCC

Developed rural areas and provided jobs.

2.5 million people helped by 1942

How much were CCC members paid a month

$30, required to send $25 back to families.

Failures of the CCC

Only employed young white men and they spent their work away from urban areas

Used federal money to pay off farm creditors

Farm Credit Administration

Success of the FCA

Cleared off farm debts and saved farmers from bankruptcy.

Used federal money to pay off mortgages

Home Owners Loan Cooperation 1933

Short term scheme to employ as many people as possible

Civillian Works Administration

Successes of CWA

Public works such as road building was useful and it got people out of debt

4.2 million people paid

Failures of CWA

Many jobs were unecessary such as sweeping leaves in parks or actors giving free shows.

Only provided work for 6-9 months

Extravagant spending of $10 billion

Term used for unecessary spending on projects

Boondoggling

Statistics for Public works administration

Built 70% of America’s schools and 35% of hospitals

Helped thousands of homeless, starving and penniless Americans

FERA

How much was given to FERA

$500 million

What did FERA do?

Increase soup kitchens and provide clothing and employment.

Negatives of new deal (unemployment stats)

• 8 million still out of work in 1937

• Unemployment only fell below 1 million in 1943 due to rearmament.

Negatives of new deal (division of USA)

• New Deal divided USA

• FDR and his officials accused of being communist and undermining America’s rules

• Both harolds accused of being anti-business as they supported trade unions

Negatives of the new deal (alphabet agencies)

• Many alphabet agencies only offered short term relief

• AAA drove tenants off land and forced people to look elsewhere

• NRA regulations not compulsory so conditions didnt improve much

• Social security act did not improve national rates and did not provide state medical.

Why was there a second new deal

• Journalism and projects revealed the struggles of rural poor still trying to meet basic needs

• Business was losing enthusiasm for NRA, violence and intimidation from workers in trade unions still taking place

• Ongoing worker strikes

• FDR still faced criticism

Difference between first and second new deal

• First New Deal = Relief and Recovery

• Second New Deal = Reform

Alphabet Agencies under the 2nd New Deal

Wagner Act, National Youth Admin, Resettlement Admin, Social Security Act, Works progress admin: 1935

Federal Works Agency: 1939

Wagner Act (2nd ND)

• Forced employers to allow TR

• Made it illegal to sack union workers

• banned use of spies against unions

Positives of wagner act

1933: 3.7 million

1940: 8.7 million

Negatives of wagner act

• Protests and violence

• Several unions joined to form Committee for industrial organisation large enough to bargain with bigger companies

More strikes in 1937

Steel workers protested at employers resulting in 10 shot by 500 armed Chicago police.

Resettlement admin (2nd ND)

Relocated struggling urban and rural families to communities planned by the federal government

Social Security act (2nd ND)

targetted old people.

Established pensions for retirees and unemployment insurance.

Provided aid for low income or disabled people

Negatives of social security act

It was a violation of some civil rights, serialised people

Works Progress Admin (2nd ND)

Provided public works jobs on a wide range of projects.

How many airports, miles of roads and streets and public buildings built by WPA?

Airports: 850

Roads: 651,000 miles

Buildings: 125,000

Supreme Court (opposition)

Dominated by conservative judges who ruled that key agencies were illegal as it gave the federal government more power and did not follow laissez faire approach.

Huey Long (share our wealth)

A left wing critic who argued that the new deal didnt go far enough

Proposed taxing the rich heavily to give every American a steady income and life.

They could only have 5 million or less.

Father Charles Coughlin

Broadcasted radio sermons to slam FDR.

Called for guaranteed annual income and nationalised banks

How many listeners did father coughlin have

45 million

The Liberty League

A right wing group of wealthy businessmen and reublicans who accused FDR for being too much like a dictator and turning USA into a socialist, government controlled state.

Successes of the new deal

By 1940, unemployment fell by 40%

People trusted roosevelt and had increased confidence.

Stock market and banks recovered

Despite handling billions of public money, evidence to show there were no corruption scandals.

• Head of CWA, Harold Hopkins never earned more than his salary of 15,000

• Secretary of Interior, Harold Ickes tapped employee phones to ensure no corruption