1932, America in the 1932, America in the depths of the Great Depression depths of the Great Depression

Things look grim for Hoover as Things look grim for Hoover as the 1932 general election nears the 1932 general election nears

1932 Election 1932 Election

Republicans Herbert Hoover Republicans Herbert Hoover and Charles Curtisand Charles Curtis

1932 Election 1932 Election

Democrats Franklin D. Roosevelt Democrats Franklin D. Roosevelt and John Nance Garner and John Nance Garner

1932 Election 1932 Election Hoover Hoover shouldered shouldered blame for blame for Depression Depression and plight of and plight of Bonus Army Bonus Army Results

Franklin D. Roosevelt Franklin D. Roosevelt 2-term governor of 2-term governor of New York New York

V. P. V. P. Candidate Candidate 1920 1920

Victim of polio—mostly Victim of polio—mostly confined to wheelchairconfined to wheelchair

1932 Election 1932 Election 19301930 DemDem RepRep OthOthSen.Sen. 4747 48 1 48 1House 216 218 1House 216 218 11932 1932 Sen. 59 36 1Sen. 59 36 1House 313 117 5House 313 117 5

Dems: total control Dems: total control

Roosevelt Roosevelt Carefully selected advisors:Carefully selected advisors:professors, lawyers, & journalistsprofessors, lawyers, & journalistsknown asknown as “The Brain Trust.” “The Brain Trust.”

Together created New DealTogether created New Deal

““A new deal for the A new deal for the American people.”American people.”

One of Roosevelt’s One of Roosevelt’s closest friends and most trustedclosest friends and most trustedadvisors was Harry Hopkinsadvisors was Harry Hopkins

First served as an aide First served as an aide to Roosevelt in N. Y. to Roosevelt in N. Y. Headed the Federal Headed the Federal Emergency Relief Emergency Relief Administration then Administration then the Works Progress the Works Progress Administration (WPA)Administration (WPA)

Three Goals: Three Goals: 1. Relief for the needy 1. Relief for the needy

2. Economic 2. Economic recovery recovery 3. Financial 3. Financial reform reform

The Hundred Days: The Hundred Days: March 9-June 16, 1933 March 9-June 16, 1933

Roosevelt completely controlled Roosevelt completely controlled the Congress the Congress Fifteen pieces of New Deal Fifteen pieces of New Deal legislation. legislation.

Roosevelt Roosevelt takes office March 4, takes office March 4, 1933.1933.March 5: declares a March 5: declares a bank holiday to bank holiday to prevent further prevent further withdrawals. withdrawals.

We’ll be We’ll be closed closed until until

March March 13th13th

Congress passed The Congress passed The Emergency Banking Relief Act Emergency Banking Relief Act

Treasury Department could Treasury Department could inspect banks for inspect banks for solvencysolvency

Insolvent banks remain closed;Insolvent banks remain closed;receive loans from governmentreceive loans from government

Revived public confidence in Revived public confidence in American banksAmerican banks—faith that banks—faith that banksin good financial shapein good financial shape

March 12,March 12, 1933—Roosevelt 1933—Roosevelt gives first “fireside gives first “fireside chat”—radio chat”—radio addressaddress

Gave occasionally on issues of Gave occasionally on issues of public concern.public concern. Explained New Explained New Deal programs in clear, simple Deal programs in clear, simple language. language. People felt talking People felt talking directly to them.directly to them.

Within next few weeks,Within next few weeks,people returned their savings to people returned their savings to American banks.American banks.Glass-Steagall Banking Act Glass-Steagall Banking Act of 1933—curb irresponsible of 1933—curb irresponsible speculation by banks speculation by banks

Created the Federal Deposit Created the Federal Deposit Insurance Corporation (FDIC)Insurance Corporation (FDIC)Insured individual accounts Insured individual accounts up to $5,000.00 up to $5,000.00

Agricultural AdjustmentAgricultural AdjustmentAct of 1933 Act of 1933 Reduced crop reduction to end Reduced crop reduction to end surpluses and halt downward surpluses and halt downward spiral of crop prices spiral of crop prices Domestic allotment system Domestic allotment system Agricultural Adjustment System Agricultural Adjustment System

1936: Supreme Court 1936: Supreme Court struck down the struck down the Agricultural Agricultural adjustment Actadjustment Act (AAA), (AAA), saying saying agricultural issues should be agricultural issues should be regulated by the states, not the regulated by the states, not the federal government.federal government.Setbacks for Roosevelt and the Setbacks for Roosevelt and the New Deal.New Deal. Roosevelt felt further Roosevelt felt further such decisions could dismantle such decisions could dismantle the New Deal. the New Deal.

Resettlement Administration (1935)Resettlement Administration (1935)Farm Security Administration (1937)Farm Security Administration (1937)Rural Electrification AdministrationRural Electrification AdministrationNational Industrial Recovery Act National Industrial Recovery Act National Recovery National Recovery AdministrationAdministration

Tennessee Valley Authority (TVA) Tennessee Valley Authority (TVA)

The Truth in Securities Act (1933 & The Truth in Securities Act (1933 & 1934)1934) Created the Securities and Created the Securities and Exchange Commission (June 1934)Exchange Commission (June 1934)

Federal Emergency ReliefFederal Emergency Relief Administration Administration

Civil Works Administration (4 MillionCivil Works Administration (4 Million people to work people to work

Pump-priming: Pump-priming: Government money to stimulate the Government money to stimulate the economyeconomy One of the New Deal’s most One of the New Deal’s most important contributions to public important contributions to public policypolicy

Civilian Conservation Civilian Conservation Corps Corps

Criticism of New Deal Criticism of New Deal Early 1935: no end in sight Early 1935: no end in sight Many Americans hostile to New DealMany Americans hostile to New Deal

Right-wingersRight-wingersCorporate AmericaCorporate AmericaCommunistsCommunists

Conservatives concerned with Conservatives concerned with reckless spending reckless spending

Criticism of New Deal:Criticism of New Deal:Liberty League Liberty League Pierre S. du Pont familyPierre S. du Pont familyDuPont ChemicalDuPont Chemical Arouse public opposition to Arouse public opposition to the New Deal’s ‘dictatorial”the New Deal’s ‘dictatorial” policies and its supposed attacks on policies and its supposed attacks on free enterprisefree enterprise

FDR: “I welcome their hatred.”FDR: “I welcome their hatred.”

Francis Townsend Francis Townsend Plan for federal pensionsPlan for federal pensions for the elderlyfor the elderly

Father Charles E. CoughlinFather Charles E. Coughlin

Critical of capitalistsCritical of capitalistsMonetary reformMonetary reform

Huey P. Long (D-LA) Huey P. Long (D-LA) Attacked banks, oil companiesAttacked banks, oil companiesUtilities, etc.Utilities, etc.Very powerfulVery powerfulDictatorial powers as Dictatorial powers as governorgovernor

Solid record of conventional Solid record of conventional progressive accomplishment progressive accomplishment

Huey P. Long (D-LA) Huey P. Long (D-LA) Share-Our-Wealth Plan Share-Our-Wealth Plan Tax system to confiscate Tax system to confiscate surplus wealth of richest surplus wealth of richest peoplepeople

All The King’s MenAll The King’s Men1949 & 2006 1949 & 2006

Second New Deal—1935 Second New Deal—1935 Soak the Rich schemeSoak the Rich schemeHighest and most progressive tax Highest and most progressive tax rates in U. S. historyrates in U. S. historyPrimarily a symbolic effectPrimarily a symbolic effect

John L. LewisJohn L. LewisWilliam Green William Green

Frances Perkins Frances Perkins Secretary of Labor Secretary of Labor First female cabinet First female cabinet membermemberLed Social Security Act Led Social Security Act of 1935of 1935 Payroll taxPayroll tax Pension SystemPension System Unemployment Unemployment insuranceinsurance

Frances Perkins Frances Perkins Social insurance for the Social insurance for the elderly and unemployedelderly and unemployedElderly:Elderly: $15.00 a month in federal$15.00 a month in federal assistanceassistance Pension system—payroll taxPension system—payroll taxAlso system of unemployment Also system of unemployment insurance—not welfareinsurance—not welfare

Social Security Act of 1935Social Security Act of 1935

Works Progress Admin. (WPA) Works Progress Admin. (WPA)

Works Progress Admin. (WPA) Works Progress Admin. (WPA) Civil works projects Civil works projects 2.1 million employed2.1 million employed 1935-19411935-1941Built or renovated: Built or renovated: 110,000 public buildings110,000 public buildingsConstructed 600 airportsConstructed 600 airportsConstructed 500,000 miles of roadsConstructed 500,000 miles of roadsConstructed 100,000 bridges Constructed 100,000 bridges Also sponsored the Federal WritersAlso sponsored the Federal Writers ProjectProject

1936 General Election 1936 General Election Roosevelt andRoosevelt andJohn NanceJohn NanceGarner vs.Garner vs.

Alf Landon of Kansas Alf Landon of Kansas and Frank Knox and Frank Knox

Not even close

Roosevelt Attempts to Roosevelt Attempts to ““Pack” the Supreme Court Pack” the Supreme Court 1935, Supreme Court struck 1935, Supreme Court struck down the down the National Industrial National Industrial Recovery ActRecovery Act (NIRA) as (NIRA) as unconstitutional unconstitutional

Gave legislative powers to the Gave legislative powers to the executive branch executive branch

February 1937:February 1937:Roosevelt asks Congress to enact Roosevelt asks Congress to enact a court-reform bill that would a court-reform bill that would add 6 new Supreme Court add 6 new Supreme Court justices.justices.

Court-packingCourt-packing—create a Supreme —create a Supreme Court sympathetic to New Deal Court sympathetic to New Deal programs.programs.

Most in Congress felt Most in Congress felt such a bill would violate the such a bill would violate the principles of judicial indepen-principles of judicial indepen-dence and the separation of dence and the separation of powers.powers. Never came to a vote. Never came to a vote. However, in time: However, in time:

Due to retirements/resignations,Due to retirements/resignations,Roosevelt appointed 7 new Roosevelt appointed 7 new justices in 4 years. justices in 4 years.

1934 Off Year Elections1934 Off Year Elections7474thth Congress (1935-1937) Congress (1935-1937) DemDem RepRep OtherOther Senate 69 25 2Senate 69 25 2House 322 103 10 House 322 103 10 7373rdrd Congress (1933-1935) Congress (1933-1935) Senate 59 36 1Senate 59 36 1House 313 117 5House 313 117 5

Roosevelt’s Black CabinetRoosevelt’s Black Cabinet

Mary McLeod BethuneMary McLeod Bethune William HastieWilliam Hastie

Informal Network of energetic African-Informal Network of energetic African-American officeholders in Roosevelt American officeholders in Roosevelt AdministrationAdministration

Marian AndersonMarian AndersonDAR refused DAR refused Permission to singPermission to singIn DAR Hall in In DAR Hall in D. C.D. C.Eleanor Roosevelt Eleanor Roosevelt resigned from DAR;resigned from DAR;persuaded Hopkins persuaded Hopkins to permit Andersonto permit Andersonto sing on Lincolnto sing on LincolnMemorial steps, Memorial steps, Easter Sunday 1939Easter Sunday 1939

Second New Deal Second New Deal Roosevelt prodded to help the Roosevelt prodded to help the poorest people by his wife, poorest people by his wife, Eleanor Eleanor

Eleanor Eleanor Roosevelt:Roosevelt:

Traveled country Traveled country Reported to the Reported to the presidentpresident

Kept president up-to-date about Kept president up-to-date about people’s suffering people’s suffering Reminded president to appoint Reminded president to appoint women to government positions women to government positions