The New Deal 1932-1941

A new political establishment in Europe & US � Germany, Italy, and Japan turned to

dictators to deliver them from despair. Franklin D, Roosevelt accepted the Democratic Party’s nomination for president.

FDR and Hoover. � Hoover’s popularity decline as the

depression worsen

� Roosevelt pledge a “NEW DEAL” for America.

� Roosevelt depended on his wife. Sent his wife to visit the Bonus Army. She sang song to them.

Research � “The country needs and, unless I

mistake its temper, the country demands bold, persistent experimentation. It is common sense to take a method and to try it. If it fails, admit it frankly and try another. But above all try something.”

Puzzlement

The Second New Deal � The second New Deal addressed the the

following: � The elderly � The poor � The unemployed � New public works projects � Farming � Protect workers rights.

Public Morale �  In 1933: The 18th amendment was

repealed: Americans were once again allowed to drink legally.

� WPA (Works Progress Administration): built new roads and improved nation’s highways and it even provided programs in the arts for displaced artists.

John Maynard Keynes � Believed that spending money was

needed to end the depression.

� Social Security Act: Is a form of unemployment for workers who lost their jobs.

� Flaws: Did not apply to farmers or domestics. African-Americans were affected. Social.

Workers Rights (Unions) � Wegner Act: Gave employees

(workers) the right to join labor unions through collective bargaining meaning that employers (boss) had to negotiate with unions about hours, wages, and other working conditions.

LABOR � Fair Labor Standards Act: A minimum

wage was established:

� 25 cents and hr. � 44 hours. � No child labor.

� TODAY: Minimum wage will be increase to 10.25 hr.

New Deal Questioned

� Schechter Poultry vs United States ruled that since the President had no power to interstate commerce, the National Industrial Recovery Act was unconstitutional.

I need to do something

Court Packing � He added 6 more justices to the already

established 9 member court.

� Critics began to voice their concerns.

� President was trying to increase his power as commander in chief.

New Deal Effects (SOCIAL) � Women were not employed in the CCC.

Social security did not covered them. � African Americans were the first ones to

be unemployed when job was no longer available.

�  Indian New Deal: Helped American Indians fund the construction of new schools.

Effects (Political) � Federal Government role in the nation

changed. � The FDIC and SEC restored Americans’

trust in banks and the stock market. � Wagner Act boosted union merbership. � Child labor ended.

Effects (Economic) � Workers’ compensation laws � Unemployment insurance. � People had jobs now (CCC) � Welfare State: A government that assumes

responsibility for providing for the welfare of children and the poor, elderly sick, disable, and unemployed.

Current Welfare State 2014

� Household Poverty Rate: � 2007=23.3 � 2011=25.8

� Elderly Poverty Rate: � 1935= 60 % � Current= 9.4%