Chapter 25, Section 3Reaction to the New Deal

•The New Deal encouraged a sense of hope among Americans

•The New Deal failed to end the depression▫Protest against it could be heard

throughout the land

Angry Voices

•Most critics of the New Deal wanted government to do more

•Few wanted it to do less

Huey Long

•Turned on the president•His motto was “Share the Wealth”

▫Called for heavy taxes on the rich Use the tax money to provide every family with a house car and a decent annual income.

Francis Townsend

•A California doctor•Wanted everyone over age 60 to get a

pension of $200.00 a month▫These people would have to retire

freeing up jobs

Father Coughlin

•A catholic priest known as the radio priest•Criticized FDR for not taking a stronger

action against bankers and rich investors

Liberty League

•A conservative group complained the New Deal interfered with business and people’s lives

FDR and the Supreme Court

•Roosevelt and his advisors defended the New Deal by comparing the depression to a national emergency

Striking Down New Laws

•Supreme Court ruled that the Industrial Recovery Act was unconstitutional▫Gave too much power to the president

and to the federal government•Court then struck down the Agricultural

Adjustment Act and nine other New Deal laws

FDR Strikes Back

•Roosevelt put forth a plan to reshape the federal courts▫Raising the number of justices on the

Supreme Court from 9 to 15•He could then appoint 6 new judges who

supported his programs

Howls of protest

•Both supporters and critics of the New Deal saw his move as a threat to the separation of powers

•In the end Roosevelt withdrew his proposal

Changes on the Court

•During his years in office FDR got to appoint 9 new Justices more than any other president since George Washington

Labor Reform; Growth of Unions•Wagner Act; protected American workers

from unfair management practices, such as firing a worker if he or she joined a union

•Guaranteed collective bargaining; the process in which a union representing a group of workers negotiates with management for a contract

Labor Reform; Growth of Unions•Helped union membership grow from 3

million to 9 million in the 1930’s•Became a powerful force in politics

Labor struggles

•Employers continued to try to stop workers from joining unions

•Sitdown Strike: stopped all machines and refused to leave the factories

A minimum wage

•Fair Labor Standards Act set a minimum wage of $0.40 an hour and a maximum of 44 hours per week

•Banned children under the age of 16 from working

Social Security

•In the 1930’s the U.S. was the only major industrial nation that did not have a system of pensions for retired people

Social Security Act: passed in 1935•3 Parts•1. Set up a system of pensions for older

people▫A. Supported by payment from employees

and employers•2. Unemployment insurance

▫A.Received small payments until you found work again

•3. States got money to support dependent children and people with disabilities

Critics

•Worried about the increased power of the federal government

•Deficit spending; government spent more than it took in from taxes▫Increase in the national debt

Critics

•Business leaders claimed the New deal was making unions too powerful

•It was not bringing economic recovery

Supporters

•Argues that the government must meet the need of all people

•Believed government must regulate industries like banking to prevent another depression