Chapter 12 The New Deal

1. Chapter 12 The New Deal

2. What were the key events of the presidential election of 1932? • Americans blamed Hoover and the Republicans for economic problems • Roosevelt promised relief and public works programs to provide jobs • Roosevelt pledged to help “the forgotten man at the bottom of the economic pyramid” • Americans believed that here at last was someone who understood and cared about the plight of ordinary citizens

3. What government jobs did Roosevelt hold before running for president? • Had served as assistant secretary of the Navy under Woodrow Wilson • Had unsuccessfully run for vice-president in 1920 – soon after was stricken with polio, which left him without most use of his legs • Strengthened him • Became governor of New York in 1929 – launched a groundbreaking relief program to aid the citizens of New York during Depression

4. How did Roosevelt plan to turn the economy around? • At his core, Roosevelt was in the tradition of Woodrow Wilson and the Progressives – he believed in a stronger government role in people’s lives • FDR, before he’s through, will completely transform the relationship between the government and its people • Relief for the poor • Public works programs • Lowering tariffs

5. What was the nature of Franklin and Eleanor Roosevelt’s political partnership? • Their marriage played a vital role in the president’s political career • While he was ill with polio, Eleanor served as FDR’s “eyes and ears” • He valued her insight, and there is no doubt she was very influential with him

6. How did FDR turn his disability into a strength? • Many people identified with his struggles • They admired his courage • Even people who were unaware of his disability were impressed with his sense of inner strength that his struggle had given him

7. What is FDR saying about government’s role in the “History’s Voices” quote? • Quote – “I assert that modern society, acting through its Government, owes the definite obligation to prevent the starvation or the dire want of any of its fellow men and women who try to maintain themselves but cannot” • What Roosevelt is saying here is that government’s role should be expanded in order to help people deal with and solve social problems

8. How did Eleanor Roosevelt transform the role of First Lady? • Eleanor became very involved in social issues – like the lynching of African Americans in the South • She spoke publicly about poverty and social injustices • Depending on who you asked, she was either deeply admired or sharply criticized • There is no doubt that Eleanor greatly expanded the role of the First Lady

9. What initial actions did FDR take to stabilize the economy? • Called a “bank holiday” which was an executive order that temporarily closed all the nation’s banks • Called Congress into emergency session and pushed through the Emergency Banking Act, which gave government officials authority to examine each bank, determine its health, take steps to correct problems, or close it • Started putting into place parts of the New Deal • Glass-Steagal Act – created the FDIC, which insured deposits in banks • CCC – Americans were paid to work on conservation projects • AAA – gave farmers a subsidy to NOT plant crops; to drive prices up

10. What happened during the four months between the presidential election and Roosevelt’s inauguration? • The economic crisis deepened – Hoover was powerless to do anything about it • Banks continued to fail; unemployment continued to rise

11. What major action did FDR take on his second day after inauguration as president, and why did he do it? • He closed the banks to prevent more withdrawals and bank failures

12. What was the goal of the Tennessee Valley Authority (TVA)? • The TVA was one of the most ambitious projects of the New Deal • Created in May 1933 – massive program was in charge of developing the resources of the entire Tennessee River Valley • Built dams to control floods, aid navigation, proved hydroelectric power for industries

13. How did the public benefit from the Federal Securities Act? • The Federal Securities Act forced companies to share certain financial information to the public • This helped investors make wiser choices • Helped restore confidence in the fairness of the markets • Was done in response to the Crash of ‘29

14. How did the New Deal run into trouble in Roosevelt’s first term? • The New Deal represented a break from tradition in the relationship of government and its people • Radical Liberals believed the New Deal had not gone far enough • Conservatives felt it had gone too far • Many parts of the New Deal faced opposition in the courts, and were struck down

15. What did Huey P. Long’s Share Our Wealth Society want to do? • Long’s group had the slogan “Every Man a King” • Wanted raise taxes on the wealthy; give every family $5,000 to buy a home plus an income of $2,500 a year

16. Do you think the New Deal went too far or not far enough? Why? • Not far enough – Roosevelt didn’t do enough to assist certain groups of Americans, like the poor and elderly • Too far – went way too far in expanding the role of government

17. What were the key programs in the Second Hundred Days? • WPA – Works Progress Administration • Largest peace-time jobs program in U.S. history • Employed 8.5 million people in public works projects • Roads, schools, museums, offices, zoos, etc. • Put nearly ¼ of nation’s jobless to work • Social Security Act • Wagner Act – created the National Labor Relations Board (NLRB)

18. What were the provisions of the Social Security Act? • Provided a pension for many Americans 65 years and older • Also included a system of unemployment insurance – provided payments to workers who lost their jobs

19. Why might critics of the first New Deal have favored the Second New Deal? • The Second New Deal, more than the first, was more involved with works projects, which required people to work for their pay

20. Do you think Hoover would have agreed or disagreed with the quotation from FDR’s 1935 State of the Union address? Explain • Quote – • “Continued dependence upon relief brings about a spiritual and moral disintegration…destructive to the national fiber. To dole out relief in this way is to administer a narcotic, a subtle destroyer of the human spirit” • Hoover would probably agree – he believed in “self-reliance”, or “rugged individualism”

21. How did New Deal programs help to revive organized labor? • Established the National Labor Relations Board • Outlawed anti-labor practices (Wagner Act) • Gave workers the right to form unions and bargain collectively

22. Why was the NIRA considered prolabor? • Because it was intended to guarantee workers the right to form unions and bargain collectively • The problem with the NIRA was the government had little power to force businesses to cooperate

23. What was the National Labor Relations Board empowered to do? • It could conduct voting in workplaces where the company’s workers could vote on whether they wanted to unionize • Could also require businesses to abide by the vote

24. What was the advantage of a sit-down strike over a traditional strike? • Management could not bring in security forces to scatter picket lines, or bring in nonunion “scab” workers to replace those who were on strike • Any effort to “take back” the factory could result in destruction of factory property

25. What events helped establish the CIO as a major force in American labor? • The GM sit-down strike of 1936 (GM employees were members of the CIO) • Successful lawsuit against the U.S. Steel Corporation in 1937

26. What was the major difference between the AFL and the CIO? • The AFL was a collection of smaller unions representing skilled workers who were organized within specific crafts • The CIO was made up largely of unskilled workers who were organized in many industries, such as the auto and steel industries

27. What were the key events of the 1936 election? • FDR worked hard to win votes that might go to the newly-formed Union Party • Republican candidate Alf Landon carried only two states • Democrats gained seats in both houses and won 26 of the 33 races for governor • Democrats were firmly in control of the nations’ political power

28. Why was the Rural Electrification Act important for farmers? • It brought electricity to rural areas where for-profit power companies had been unwilling to put in power lines • Farmers who never had electricity before now had it

29. How might the results of the 1936 election have been different if Huey Long had not been assassinated the year before? • Long might have been the Union party candidate for president • His party might have done much better • Unlikely possibility that he could have defeated FDR

30. Why was 1937 a troubled year for FDR and the Second New Deal? • His attempt to re-organized the courts failed • Even Democrats rebelled against him • Sharp drop in the stock market • 2 million Americans lost their jobs that year

31. What was the result of FDR’s attempt to reorganize the courts? • Rebellion within the Democratic party • Most saw this as an attempt by FDR to win over TWO branches of government (executive and judicial) • Major political loss for FDR

32. How did FDR respond to the new wave of unemployment in late 1937 and early 1938? • By seeking large sums of money to fund programs • Began the era of deficit spending (where the government spends more money than it takes in)

33. What was FDR’s “court-packing” plan? Did it work? • It was his plan to reorganize the courts • This would have given FDR power to appoint many new judges, and also expand the Supreme Court by up to six justices • No; failed; Democrats went against him; most people saw this as FDR’s wanting to “pack” the Supreme Court with justices who would agree with his programs

34. How did the public roles of women and African Americans change during the New Deal? • Offered women and African Americans hope for expanded role in public life • They served in prominent government posts • Secretary of Labor – Frances Perkins

35. How did women fare in the New Deal workforce? • A few held prominent government posts • Most faced discrimination, received lower wages • Fewer job opportunities than men

36. How did artists and writers of the era tell the story of the Great Depression? • Painters and sculptors fashioned works depicting the struggles of the working class and the poor • John Steinbeck – The Grapes of Wrath • Dorothea Lange – photographer who chronicled life of the poor in San Francisco • Helped raise awareness of the poor

37. Why would the F arm Security Administration hire someone to take photographs of the rural poor? • Farm Security Administration – focused on the lives of tenant farmers and sharecroppers • To show what it was trying to accomplish • To gain public support • Create a historical record

38. What forms of popular entertainment were popular during the Great Depression? • Movies • Radio • Jazz • swing music

39. Why did Americans in the 1930’s like movies that showed luxurious lifetyles? • It helped them to escape their own problems

40. Compare the role of radio in people’s lives during the 1930’s with the role television plays in our lives today. • Very similar – radio was the “television” of that age • Provided many of the kinds of information and entertainment that television now provides

41. What is significant about the fact that it was white big band leaders who brought jazz to new audiences? • White audiences might have been unwilling to listen to African American band leaders at that time

42. What was the impact of the New Deal on the nation in the 1930’s? • Helped poor Americans – gave them jobs • Less successful in economic recovery • Changed the relationship between citizens and government • Government became much bigger

43. What was the PHYSICAL legacy of the WPA? • New roadways • Bridges • Dams • Public buildings • Schools, gymnasiums, football stadiums • Public art

44. In which area – relief, recovery, or reform – do you think the New Deal was most successful? • Probably reform – programs like the FDIC and the SEC restored confidence in banks and the stock market • Social Security – gave pensions to older citizens • All of these huge programs are still in effect today

45. As a result of the New Deal, Americans began to look regularly to government for help. Do you think this is a good trend or a bad trend? • Coach Lorenz says BAD!!!!!!!!!!!!!!! • You might think something different • “It cannot be successfully denied that whatever the merits of the New Deal policies, they have, as a whole, caused an appreciable drift away from individual responsibility and self-reliance. They have brought about an excessive, utterly false and dangerous reliance upon government” • Saturday Evening Post, November 6, 1936

46. In what ways was the impact of the New Deal limited? • It never reached all the people it was intended to help • Jobs programs, while giving people a job, did not pay well • Permitted discrimination

47. Why did the government keep WPA wages low? • To provide relief, but also to encourage people to find nongovernment jobs

48. How did the New Deal come to an end? • Court-packing fight • Economic downturn of 1937-38 • Stand-off with Congress, and the lack of support among Democrats

49. Which was most costly to FDR, the court-packing attempt or the economic downturn? • Probably the court-packing attempt, because it cost FDR support from both Republicans and his own Democratic party