Franklin D. Roosevelt

• Franklin Roosevelt used the New Deal to help US get out of Great Depression situation

• first to put Keynesian economics into practice

• New Deal - every man has the right to make a comfortable living

  • to fix the depression and prevent future depressions

  • Relief

  • Recovery

  • Reform

• First New Deal - programs before 1935

  • Civilian Conservation Corps - paid young people to build national parks

  • Agricultural Adjustment Act - tried to raise production prices by setting production quotas and paying farmers to plant less food, in that way, the government could regulate production prices

  • National Industrial Recovery Act - establish the National Recovery Administration, to coordinate industry standards

  • Federal Emergency Relief Administration - welfare payments to people who were desperate

  • Glass Stagall Act - commercial banks could not buy and sell stocks

  • Civil Works Administration - created jobs for many people

• Then Supreme court struck down some of these acts because were trying to regulate local businesses too much

• Passed a law that allowed him to appoint new supreme court justices if those older than 70 did not retire

• So Supreme Court started to uphold New Deal laws

Second New Deal

• Wagner Act - gave workers the right to unionize

• Unions wanted to raise workers wages

• Social Security Act of 1935 - included unemployment insurance, aid to the disabled, aid to poor families with children, and retirement benefits

  • funded through payroll taxes

  • transformation between relationship between government and citizens - changed question from if the government should intervene to how the government should intervene

• Works Progress Administration

  • created many jobs until ended in 1943

• Changed way Americans thought of the Democratic Party - idea changed form liberty being connected most closely to freedom to liberty being most closely connected to security