Chapter 21The New Deal, 1932–1940

Warm Up3.18.14

S

o…. Was FDR a socialist or a “champion of freedom?

Give Me Liberty!: An American history, 3rd EditionCopyright © 2011 W.W. Norton & CompanyMap 21.1 Columbia River Basin project, 1949

The First New Deal

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DR and the Election of 1932• Symbolically represented the ordinary American• Privileged childhood & Harvard educated• Contracted Polio after VP run in 1920• Promised a NEW DEAL

• Fairness, balanced budget, repeal Prohibition

• Won in a landslide = 57% of the popular vote• Dems won majorities in both Senate and House

Give Me Liberty!: An American history, 3rd EditionCopyright © 2011 W.W. Norton & CompanyMap 21.2 The Presidential Election of 1932

The First New Deal

T

he Coming of the New Deal• crisis around the globe• Britain, France, Germany, Soviet Union, & Japan all react

conservatively

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DR viewed New Deal as alternative to socialism, fascism, and

unregulated capitalism• *what is Fascism again?

The First New Deal

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he Banking Crisis• Restore confidence!• Declared a “bank holiday”

• Temp halted all banking in the U.S. • Called special session in Congress and passed:

• Emergency Banking Act

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ore financial reforms:• Glass- Steagall Act• FDIC

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ot one bank failed in 1936!

The First New Deal

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he NRA, AAA, & CCC• National Recovery Administration• Agricultural Adjustment Administration• Civilian Conservation Corps

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overnment Jobs• Federal Emergency Relief Administration• CCC – temporary jobs that improved the nation

The First New Deal

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ublic Works Projects• $3.3 Billion in funding• Roads, schools, hospitals, and other public facilities.• Employed over 4 million people

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he New Deal and Agriculture• AAA – raise farm prices• Benefited large farmers, not small farmers or field laborers• Severe drought (most severe in America’s history!)

• Dust Bowl

Give Me Liberty!: An American history, 3rd EditionCopyright © 2011 W.W. Norton & CompanyMap 21.3 The Dust Bowl, 1935-1940

The First New Deal

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he New Deal and Housing• Depression destroyed housing industry• FHA – Federal Housing Administration

• Insured millions of long-term mortgages• Built low rent housing

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he Court and the New Deal• 21st Amendment – repealed Prohibition (18th Amendment)• SEC – Securities and Exchange Commission• FCC – Federal Communications Commission• Supreme Court began to strike at New Deal policies

• Majority of Justices were Republican

Warm Up3.21.14

Warm Up3.21.14

P

lease answer the following question in

your binder:

• Why do you think FDR was so popular?

Agenda03.21.14

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nnouncements/ Housekeeping• APUSH EXAM SIGN UP • Q3 EXAM

• WWI, 20’s, Depression, New Deal

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ew Deal Cont….• Notes ( 5 slides)• VoF #140

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W: GML 884 - 898

The Second New Deal

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he Works Progress Administration (WPA) and the Wagner Act• Launched in 1935

• Centered around economic security

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ural Electrification Agency (REA)• Brought electricity to homes• Promoted soli conservation and family farming

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orks Progress Administration (WPA)• 3 million Americans a year until 1943• Buildings, murals, historical guidebooks

The Second New Deal

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he American Welfare State• Social Security Act

• The MOST important element of the 2nd New Deal• Gov’t responsibility to look out for material welfare of

ordinary Americans• Unemployment Insurance• Pensions• Aid to disabled, elderly, and families with dependent

children• American version of the welfare state

T

he Social Security System• A mixture of national and local funding, control, and eligibility standards.• Pensions administered nationally, but paid for by taxes on workers and

employers.• unemployment insurance,

• The states paid most $$ for direct poor relief in a program called Aid to Dependent Children

Key Ideas:

• Social Security was a significant departure in American government’s traditional function

• New Deal dramatically changed relationship between Gov’t and People• Before the 1930s, Americans asked whether the government should intervene

in the economy. After the New Deal, Americans asked only how the government should intervene.

A Reckoning with Liberty

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DR and the Idea of Freedom• Tied freedom to the growing power of the federal gov’t

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he Election of 1936• Fireside Chats• Liberalism

• Large, active, and socially conscious gov’t

• Opponents painted FDR as a dictator who threatened traditional American freedoms

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DR vs. Alfred Landon• FDR won in landslide w/ the New Deal Coalition

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he Court Fight• Proposed that presidents should be able to appoint a new SC justice for each who remained

on the Court past age 70. (six at the time were over this age)• Goal – change the balance of power to the Dems• Worked to “influence the Court”

T

he End of the Second New DealT

he Second New Deal slowed after the court-packing fight. Although the Housing Act,.

By 1938, Roosevelt adopted this solution, known as Keynesian economics, and he asked Congress for billions for more work relief and farm aid. The New Deal had shifted from economic planning, to economic redistribution, to public spending. The Second New Deal was over.

Give Me Liberty!: An American history, 3rd EditionCopyright © 2011 W.W. Norton & CompanyFigure 21.2 Unemployment, 1925–1945