AP US. History: Chapter 31/32
The 1932 election was the first time, that since they got suffrage, African Americans started to vote Democrat.
Election of 1932:
Franklin Delano Roosevelt (D)
Herbert Hoover (R)
Took place in the middle of the Depression
Hoover was saddled with the misery of the Depression
Roosevelt won easily with his promise of the New Deal
The black vote, especially in the cities, turned Democratic
Roosevelt campaigned against excess spending:
“Throw the spenders!”
“Out of the red with Roosevelt”
The New Deal did not help us get the U.S. out of the Depression — what it did do was that it prevented radical forms of government and destructive political forces from emerging as powerful influences in America.
The New Deal, generated by the U.S. government, helped the American people.
Roosevelt’s goal was to give people a reason to believe in the country and the government so that when fascism and communism came knocking at the door, people wouldn’t turn to them.
World War 2 is what got the U.S. out of the Depression because of the financial success the U.S. had with supplying the war.
One of the first things Roosevelt did when he got into office was initiate Bank Holidays
This was when every bank in the country was ordered to shut down for a week.
Bank examiners checked everyone; some reopened, others didn’t
The Hundred Days (March 9 - June 16, 1933
The flurry of legislation aimed at both immediate and long-term recovery
The “three r’s” (relief, recovery, reform)
help people on a day-to-day basis — relief
get the economy as a whole to recover — recover
keep the Depression from happening again — reform
Roosevelt had the most cooperative Congress out of any other president
They don’t kill bills, but support and pass them
Glass-Steagall Banking Reform Act:
Created the Federal Deposit Insurance Corporation (FDIC), which allowed deposits of $5,000
The purpose was to end bank failures
The U.S. was taken off the Gold Standard
Gold was made illegal to possess
Repayment made in paper money
“Sound money” policy
The Federal Emergency Relief Association (FERA) was created to manage the billions of dollars earmarked for the relief programs designed to drag the country out of the Depression.
Harry Hopkins was at the head of FERA and was FDR’s advisor, which made him one of the most important and influential men at this time.
Like many government agencies at this time, it faced criticisms of waste, redundancy, and mismanagement.
To finance many projects, Congress repealed the 18th Amendment (which prohibited alcohol) by passing the 21st Amendment, cashing in on alcohol taxes.
The multitude of relief programs became known by their acronyms:
Federal Housing Administration (FHA): low-income housing; better quality housing
Civilian Conservation Corps (CCC): largely outdoor projects; 3 million men; many sent their pay home; a lot of men who had no work during the Depression worked her
Public Works Administration (PWA): long-term relief through public work projects; dams, schools, airports, roads, bridges, etc.
Agricultural Adjustment Administration (AAA):
Released money and credit to farmers
Paid them pre-war prices
Created a “false scarcity” by paying farmers to not grow crops
This was to make the prices rise
People wanted farmers to grow “soil-friendly” crops
Financed by a tax on farm processors
Ruled unconstitutional in 1936
The Home Owners’ Loan Corporation (HOLC) offered mortgage assistance
The Works Progress Administration (WPA) provided short-term relief through public works and artistic projects
9 million people participated
Art was a main component
1 million pieces of art were created
The Tennessee Valley Authority (TVA) sought to bring relief to the Tennessee River Valley through dams, levees, water power, and soil restoration to stop erosion and flooding and improve the poor quality of life in Appalachia by bringing them electricity.
“Yardstick” for electric rates
“Socialism in cement”
The Civilian Works Administration (CWA) established short-term employment through
DPW-type jobs
The National Recovery Administration (NRA):
It helped industry and labor, especially the unemployed
Established a minimum wage and maximum workweek
Allowed unions to choose their C.B.A.
C.B.A.: Collective Bargaining Agreement
Declared no more child labor
Promoted fair competition among businesses
******It was ruled unconstitutional in 1935 in the Schechter “sick chicken” case******
After the high court struck down the NRA, Congress passed the Wagner Act, securing the pro-labor language of the NRA.
Wagner Act (a.k.a. National Labor Relations Act):
Guaranteed collective bargaining
No discrimination for union activities
Starting a union
Testifying, grievances, etc.
Fair Labor Standards Act:
Hourly wage bill
Minimum wage
Banned child labor
Addressed interstate commerce
Benefited industrial workers
Blacks, women, and textile workers were excluded
Labor continued to expand through the Committee for Industrial Organization (CIO)
Headed by John L. Lewis
It broke off from the AFL
Organized auto workers and had a sit-in to get better wages
Became the Congress of International Organization
The New Deal led to a resistance to change.
Father Charles Coughlin:
Catholic priest; anti-New Dealer
Radio shows promoted his agenda
His newspaper was called “Social Justice”
He was shut down by the government
Tried to rationalize parts of fascism
Huey “Kingfish” Long:
Governor and U.S. Senator from Louisiana
Populist leader
Made unrealistic promises: $5,000 to every household in the country.
Assassinated in 1935
The words of Coughlin and Long worried those who feared that economic instability would cause America to gravitate toward fascism.
Women made an impact:
Frances Perkins: Secretary of Labor; the first female cabinet official
Mary McLeod Bethune: educator and member of the “Black Cabinet” and ran the Office of Minority Affairs
Margaret Mead and Ruth Benedict: made strides in cultural studies centering around gender, sex, and age.
Federal Securities Act: traded securities were required to disclose about their products
Securities and Exchange Commission: prevented manipulation and insider trading
Social Security Act: provide income for retirees and unemployment insurance.
Funded by payroll tax
While farmers battled unstable markets, nature too became an enemy — the Dust Bowl
There was a massive drought in the Great Plains.
Dirt was blown away, covering homes, ships, and other forms of livelihood
It was caused by the excessive cultivation of soil
Thousands fled to southern California to work in the produce fields.
The Indian Reorganization Act of 1934 (also known as the Indian New Deal)…
Helped to reverse the Dawes Act
Was rejected by many Indians who felt Indian agents misunderstood the modern Indian.
Led to tribal discord, which caused conflict among younger and older Indians.
Frustrated over rulings against his programs, Roosevelt tried to pack the court.
Roosevelt called it a “septuagenarian city”
He petitioned Congress for a new appointment for every judge in their 70s.
Congress and the public were infuriated because the “president overplayed his hand.”
The court began issuing pro-New Deal decisions
Some judges retired because of pension legislation
Many of the judges died — so FDR could name their replacement.
Roosevelt was reelected easily in 1936, beating Alf Landon
Reliefers, reformers, and labor movements backed the incumbent.
FDR won in a landslide — only Maine and Vermont voted for Landon
First January inauguration (20th Amendment reduced the lambe duck period)
Rich vs. poor
The election was a class issue.
Roosevelt’s second term:
The country was slow to recover — “recession within the Depression” in 1937.
Roosevelt adopted a Keynesian economic policy
This policy allowed him to control deficit spending to stimulate the economy.
Congress was more conservative
Many complained of government influence based on relief programs
The Depression ended when World War II began
The Hatch Act:
Aimed to curb influence peddling
No campaign contributions from those on relief.
Federal officials couldn’t campaign
No government money could be used for campaigning
By 1938, much of the Roosevelt sheen had worn off
Conservatives and business owners complained of trying to “compete with the government,” “a socialist state,” and a land of handouts.”
In retrospect, the New Deal did not deliver on the promises it made but did achieve moderate economic relief for a nation in a severe economic crisis.
The U.S. maintained an isolationist policy throughout the 1930s.
Some still harbored resentment over American involvement in WWI.
Both economic and diplomatic issues focused on a more domestic approach.
This allowed some countries to gravitate toward fascism.