Chapter 21: The New Deal

March 27th

Percentage of popular vote FDR won

60%

Percentage of electoral vote FDR won

90%

Unique about FDR

wheelchair bound, hidden from public, cousin of Teddy Roosevelt

Describe FDR’s brain trust

a group of intellectuals, social workers, progressives that were “smarter than him” to work together and solve the problem facing the nation

Focus of FDR’s 1st New Deal

civil liberties, economic rights and recovery

4 Actions taken by FDR to address the run on banks

1. declared bank holiday

2. emergency banking act (federal funds)

3. Glass-Stegall Act-forbade banks from risking consumer’s funds

4. FDIC-deposits insured up to $250,000

NRA

Describe FDR’s goals with NRA

allocate resources
-fed gov, business, and labor leaders working together to solve unemployment
-streamline industry, better wages, new jobs

Problem with NRA

big businesses dominated conversation, they had more money and power to bring to the table

CCC

Civilian Conservation Corps

Describe living conditions of CCC workers

housed in army-like tents, fed by federal gov., labor intensive work

Describe the CCC

agency directly created 3 million jobs in 9 yrs, paid $30 a month, created self-reliance

PWA

Public Works Administration

Describe PWA

-country needed infrastructure, workers for the fed gov built roads, levies, schools, etc.
-initially under NRA

TVA

Tennessee Valley Authority

Describe TVA

-project to create dams along TN and Cumberland river
-way to create cheap electricity, transformed rural South
-1st time gov. provides utilities, competing with private business

AAA

Agricultural Adjustment Act

Describe AAA

-declared production limits
-farmers are given money to make up the difference
-payments only going to people who own the land, not sharecroppers

Drought and Dust Bowl

1930, affected the midwest, displaced 1 million farmers

FHA

Federal Housing Administration

Describe FHA

-protect homeowners from foreclosure
-provides insurance for mortgage
-makes it cheaper to buy a home than rent
-lower down payments, longer terms, etc.

What FDR calls the Supreme Court

“enemy” of 1st New Deal

Schechter vs. US

Supreme Court case challenged the constitutionality of the NRA, strikes down NRA, angers FDR

FDR’s enemies

Supreme Court, Huey Long

Huey Long’s “Robin Hood” approach

1. $5000 grant to those in poverty

2. Guaranteed job for all able-bodied men

3. Annual income for all citizens

critic that FDR wasn’t doing enough, advocated for $200 a month to be given to the elderly

Dr. Francis Townsend

true socialist called for govt. ownership of key industries

Father Charles Coughlin

Difference between 1st and 2nd New Deal

1st-economic recovery
2nd-economic security

2 Acts in 2nd New Deal

WPA and SSA

WPA

Works Progress Administration

Describe WPA

-replaced PWA
-3 million jobs per year
-public building construction
-preserving arts
-interviews with former slaves (about to be lost to history)

SSA

Social Security Administration