Great Depression pt 2

STATION 7 – FDR AND THE 1932 ELECTION

Background on Herbert Hoover

  • Herbert Hoover, a Republican, was set to run for a second term in the 1932 presidential election.

  • Hoover gradually lost public support during his term due to:

    • His failure to alleviate the Great Depression.

    • Growing resentment among the public towards him and wealthy individuals.

Democratic Party's Opportunity

  • Sensing an opportunity to reclaim the presidency, the Democratic Party began searching for a compelling candidate.

Franklin Delano Roosevelt (FDR) as a Candidate

  • FDR was chosen as the Democratic candidate for several reasons:

    • He was the distant cousin of respected former president Theodore Roosevelt.

    • He was married to Eleanor Roosevelt, Theodore's niece, who significantly influenced him politically, espousing women's rights and labor issues.

    • FDR’s political career included:

    • Election to the New York State Senate in 1910.

    • Service as Assistant Secretary of the Navy under President Wilson.

    • A run for Vice President as the Democratic candidate in 1920, which he lost.

  • In 1921, FDR contracted polio, resulting in the loss of use of his legs; however, this did not deter his political ambitions. His wife, Eleanor, encouraged him to pursue his political career despite his disability.

  • After recovering, he was elected Governor of New York in 1928, where he earned a reputation as a reform-minded leader addressing unemployment and poverty.

Public Appeal and Campaign

  • FDR’s dynamic personality and his optimism were seen as vital in inspiring hope among struggling Americans.

  • During the Democratic National Convention in Chicago, FDR secured the presidential nomination and selected John Nance Garner from Texas as his running mate.

The 1932 Presidential Election

  • The election was more than just a contest between FDR and Hoover; candidates from the Socialist and Communist parties also aimed to appeal to disenfranchised Americans.

  • By October 1932, public opinion had swung dramatically against Hoover, leading FDR’s advisors to suggest a more subdued campaign. However, FDR campaigned vigorously, traveling across the country to deliver speeches.

  • On November 8, 1932, election day, Roosevelt won decisively:

    • He garnered 57% of the popular vote and 89% of the electoral vote.

    • The Democratic Party gained 90 seats in the House and 13 in the Senate.

  • The election was a significant disappointment for the Socialist and Communist parties,

    • The Socialist candidate received fewer than 1 million votes, while the Communist candidate acquired only about 100,000 votes.

  • Herbert Hoover became a 'lame duck' president, as Congress ratified the 20th Amendment to move the presidential inauguration to January.

FDR’s Inauguration

  • On March 4, 1933, at his inauguration, many banks in New York were closing amid the ongoing Depression. FDR took the oath of office in poor weather conditions, asserting:

    • "Only a foolish optimist can deny the dark realities of the moment."

    • He emphasized the necessity for "action, and action now."

  • FDR outlined four major themes during his inauguration:

    • Sacrifice

    • Discipline

    • Compassion

    • Hope

Page 2: The Presidential Election of 1932 Results

  • Breakdown of electoral and popular votes:

    • FDR (Democratic): 22,821,857 votes (57% of popular vote) and 472 electoral votes.

    • Herbert Hoover (Republican): 15,761,841 votes (40% of popular vote) and 47 electoral votes.

Electoral Map Overview

  • FDR's stronghold states included:

    • New York: 38 electoral votes

    • Pennsylvania: 38 electoral votes

    • California: Significant response as well.

Final Totals

  • Total Popular Votes: 39,744,313

  • Total Electoral Votes: 531

STATION 8 – THE NEW DEAL

Overview of the New Deal

  • The New Deal was a series of domestic programs and policies initiated by FDR from 1933 to 1939 to fight the Great Depression.

  • It fundamentally renovated the role of the U.S. federal government:

    • Expanded its economic engagement.

    • Established a social safety net for citizens.

Early Actions and the First Hundred Days

  • FDR sought advice from a group of university professors termed the "brain trust." Together, they crafted 15 effective laws during his initial months in office, referred to as the First Hundred Days.

  • Among immediate actions:

    • Proclaiming a nationwide bank holiday on March 6, 1933, halting all banking operations to prevent panic withdrawals.

    • Summoning Congress to provide laws that would help restore trust in the banking industry.

Goals of the New Deal: The Three Rs

  • Programs were based around:

    • Relief: Immediate assistance to the unemployed and poor via jobs and direct aid.

    • Recovery: Economic stimulation through federal spending and job creation.

    • Reform: Legislative measures to avoid future economic crises and safeguard citizens.

Notable New Deal Agencies

  • Financial Stabilization:

    • Federal Deposit Insurance Corporation (FDIC): Offered government insurance for deposits, stabilizing confidence in banks.

    • Securities and Exchange Commission (SEC): Established in 1934 to guard against stock market fraud and protect investors.

  • Job Creation and Public Works:

    • Civilian Conservation Corps (CCC): Provided employment for young men in conservation efforts.

    • Works Progress Administration (WPA): Designed to employ millions in infrastructure and cultural projects.

    • Tennessee Valley Authority (TVA): Oversaw regional development by constructing dams for economics and public utility.

  • Social Welfare and Labor:

    • Social Security Act (1935): Laid a foundation for a modern social safety net with pensions and unemployment insurance.

    • National Labor Relations Act (Wagner Act): Championed workers' rights to organize and bargain collectively.

    • Fair Labor Standards Act: Introduced minimum wage, overtime pay, and banned child labor.

Impact

  • While the New Deal did not fully end the economic downturn, it:

    • Provided significant relief, stabilized the economy, and expanded federal involvement in citizens' welfare.

STATION 9 – FIRESIDE CHATS

Overview of the Fireside Chats

  • Franklin D. Roosevelt's fireside chats were a series of 30 radio addresses delivered between 1933 and 1944, intended to connect directly with the American populace.

Goals of the Fireside Chats

  • Restoring Confidence:

    • Addressed complex issues simply, calming public panic—e.g., first chat explained the bank crisis and reassured that "it is safer to keep your money in a reopened bank than under the mattress."

  • Building Trust and Unity:

    • Fostered a personal connection by addressing Americans informally, enhancing his image as an understanding leader.

  • Gaining Support for Policies:

    • Explained major policies such as the Social Security Act and urged support for congressional votes on legislation.

Legacy

  • The fireside chats set a new precedent for presidential communication, enhancing FDR's rapport with citizens.

STATION 10 – ROOSEVELT’S COURT-PACKING PLAN

Context of the Court-Packing Plan

  • FDR was re-elected in 1936 and during his second inaugural address highlighted the New Deal's unfinished business, denouncing poverty and need.

  • Facing opposition from a conservative Supreme Court against the New Deal legislation, FDR sought to adapt the judicial branch.

  • Court-Packing Proposal (1937):

    • Proposed increasing the Supreme Court's size from 9 to 15 justices to shift its ideological balance favorably towards his policies.

    • This reorganization aimed to ensure FDR could appoint judges aligned with his New Deal vision.

    • Although this was constitutional (no size limit), it was met with concerns over balance of government powers.

Outcomes

  • Opposition grew rapidly, urging the withdrawal of the plan, which was ultimately defeated in Congress.

  • By mid-1937, the Supreme Court began upholding key New Deal legislation, making the court-packing plan unnecessary.

  • Over the next three years, FDR was able to appoint five justices, drastically affecting court direction.

STATION 11 – SECOND NEW DEAL

Purpose and Evolution

  • The Second New Deal (1935-1938) sought to transition from immediate recovery to long-term economic security and social justice.

  • More aggressive policy focus on establishing a permanent social safety net emerged.

Key Objectives

  • Social Safety Net:

    • Established through the Social Security Act, providing pensions, unemployment benefits, and support for the disabled.

  • Work Relief Employment:

    • Aimed to replace direct aid with government-created jobs via agencies like the WPA.

  • Labor Empowerment:

    • Reinstated workers' rights through the National Labor Relations Act, emphasizing collective bargaining.

  • Regulatory Oversight:

    • Included measures like the Wealth Tax Act to redistribute wealth and limit monopolies.

  • Agricultural Aid:

    • Introduced programs like the Rural Electrification Administration to enhance infrastructure in rural communities.

Shift in Political Tone

  • The Second New Deal reflected a shift from collaboration with business to a more populist approach addressing broader societal inequities.

STATION 12 – THE NEW DEAL'S IMPACT

Expanded Government Role

  • Contrary to traditional beliefs advocating limited government spending, FDR engaged in deficit spending, which energized the economy.

  • The New Deal set precedents for federal aid and intervention in various sectors via:

    • Job creation.

    • Banking regulations.

    • Labor dispute mediations.

  • Established a more active role of the federal government in citizen welfare, leading to the emergence of a modern welfare state.

Conservative Responses

  • Criticism emerged from conservatives who believed the New Deal fostered excessive governmental control and ineffective in addressing economic goals. Notable critics included Senator Robert A. Taft, who opposed certain spending practices.

Lasting Legacy

  • Many New Deal programs have had a lasting influence, such as:

    • Social Security: Providing monthly payments to older citizens and support for the unemployed.

    • FDIC: Backing depositors' funds in banks, securing individual savings.

    • SEC: Oversight of stock market activities to prevent future crashes.

    • Labor Rights: Foundation for collective bargaining and worker protections established in New Deal legislation remains influential today.

    • Numerous public works projects that continue to benefit communities, such as roads, bridges, and dams, have left a significant legacy on American infrastructure.