The New Deal USH-6.4

I. Turn aroundA. People wanted a

president that would end the Depression

B. Franklin D. Roosevelt (D) of New York is elected in 1932

1. FDR immediately starts relief, recovery, and reform measures

2. Collectively known as the New Deal

I. Turn aroundC. New Deal was not

socialism even though critics said it was

1. Experts feel it saved capitalism

D. New Deal helped alleviate the suffering but it DID NOT end the Depression

1. Massive spending on WWII ended it

II. African AmericansA. Last hired and first

firedB. Still suffered racism

and discriminationC. 48% of blacks were

unemployed 1. New Deal

opportunities went to whites

II. African AmericansD. FDR was 1st president to

try to help1. FDR consulted the “Black

Cabinet”a) Black gov’t employeesb) Not really in the Cabinet

2. AA threaten to march on DC to get more work

a) Created a commission to protect the rights of AA workers

III. WomenA. New Deal did not officially

address women1. Programs either prohibited

women or hired very few

B. Women had to find whatever work they could

1. Even though they were “stealing” jobs from men

C. “Use it up, wear it out, and make it do or do without”

III. WomenD. FDR named the 1st women

to the Cabinet1. Frances Perkins was

Secretary of Labor

E. Also relied on wife Eleanor for advice

1. 1st First Lady to be politically active

IV. New Deal ProgramsA. Emergency Banking Act

1. Banks were closed for about a week

2. Stopped the banking industry collapse

B. Fireside Chats1. FDR got on the radio and

was talking to Americans like grandpa by the fire

2. 1st one encouraged people to trust banks

IV. New Deal ProgramsC. Federal Deposit Insurance

Corporation (FDIC)1. Insures bank deposits2. Prevents people from

losing it all by giving only portion of funds

D. Securities and Exchange Commission (SEC)

1. Regulations on the stock market to prevent another crash

IV. New Deal ProgramsE. Agricultural Adjustment

Act (AAA)1. Paid famers a subsidy to

NOT plant as mucha) Lowers supplyb) Slightly raises prices &

income

2. Hurt sharecroppers by taking some land out of production

IV. New Deal ProgramsF. Tennessee Valley

Authority (TVA)1. Wanted to create electricity

for rural areas2. Built many dams along the

Tennessee River and flooded large areas

3. Provided electricity for parts of seven states

4. Thousands of jobs were created

5. More money in the economy

IV. New Deal ProgramsG. Civilian Conservation

Corps (CCC)1. Built parks around the

country2. For unemployed men

H. Public Works Administration (PWA)

1. Built schools, bridges, hospitals, air fields, etc.

2. Money is spent in local economies

IV. New Deal ProgramsI. “Court-packing”

1. The Court overturned a bunch of programs

2. FDR wanted to raise the # of justices from 9 to 15

3. They would vote his way4. Did not pass

J. Work Progress Administration (WPA)

1. Also built public buildings2. Spent $ supporting the arts

a) Writers, actors, artistsb) Often used to promote other

New Deal programs

IV. New Deal ProgramsK. Social Security Act

1. National insurance policy for the:

a) Unemployedb) Disabledc) Elderlyd) Dependent children

2. Workers pay into the fund3. Works now but did little to

help the Depression

IV. New Deal ProgramsL. Fair Labor Standards Act

1. Minimum wage ($0.25/hour)

2. Maximum hours (44/week)

M. Wagner Act1. Recognized unions and

collective bargaining

V. Paying for the New DealA. Most of these programs

were paid for by taxes1. Taxes in the rich increased2. When they complained, FDR

cut spending in 19373. Unemployment that had

been dropping went back up

B. Deficit spending has been used ever since to prevent depressions

1. Spending more than you make