The New Deal
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The New Deal US History Mr. Velarde
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The New Deal. US History Mr. Velarde. The “Old Deal”. What?. President Hoover’s reaction to the Great Depression. President Herbert Hoover. The “Old Deal”. What did he want to do?. Let the business cycle take care of things. Refused to create government programs until it was too late. - PowerPoint PPT Presentation
Transcript of The New Deal
The New Deal
US HistoryMr. Velarde
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The “Old Deal”
What?•President Hoover’s reaction to the Great Depression
President Herbert Hoover
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The “Old Deal”
What did he want to do?
•Refused to create government programs until it was too late
•Let the business cycle take care of things
Children in one of the Bonus Army Camps
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The Bonus Army 1932
•25,000 WWI veteransWho?
•Marched to Washington D.C. to get a $ bonus they were supposed to get in 1945
What?
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The Bonus Army 1932
•Called out the troops and dispersed the army What did Hoover do?
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The Election of 1932
•Roosevelt offers a “New Deal” for America Roosevelt wins with 60% of the vote
What?
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Roosevelt’s New Deal
What?•Programs meant to help the country by getting the government involved in the economy
1. Relief - help people out in the short term
2. Recovery - get the economy back on its feet
3. Reform - keep this from everyhappening again
Meant to do 3 things
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1st new Deal
To recover nations economy
•Industry
•Destitute
•Farming
•Stock Market
•Banking
•Alphabet Agencies
Stock Market
•Faith in Securities Act 1933
•Securities Act 1934
• Stricter control
• Companies had to be honest
Industry
•The New Deal introduced major breaks with traditional practices.
•N.R.A.
•Social Security
Act
•Wagner Act
•Fair Labour
Standards Act
Industry – Fair Labour Standards Act
•Set new standards so that:-
1. Set a minimum wage of 40 cents an hour
2. Set a maximum working week of 40 hours
3. Banned child labour
Industry – Wagner and Social Security Acts
• The Wagner Act stated that workers could join a
trade union
•
•The Social Security Acts established a
contributory insurance.
Farming – First Agricultural Adjustment Act
•Put up prices by creating artificial scarcity, ie killing
livestock, ploughing up crops
•This was considered by many to be unconstitutional and an
extension of federal powers.
De destitute - Successes
•Unique – a move away from laissez faire
•Helped prevent starvation
•Won political support for the Democrats from the poor
•Lowered unemployment from 13 million to 6 million by 1941.
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Bank Holiday - First Step
Why?
•Many banks had failed, wiping out families’ savings
•People lost confidence in the banks
Depositors Congregate Outside Closed Bank
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Bank Holiday - First Step
How?
•Closed banks for four days to reorganize
•President explains in a “fireside chat”
•Confidence restored
“Alphabet soup”-New Deal
2nd new deal was to help out individuals who were desperate.
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“Alphabet Soup”
•In the first 100 days of his administration Roosevelt passes tons of legislation
Hundred Days
•The agencies he creates (like AAA)
Alphabet Soup
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Next Step - “Alphabet Soup”
•18-25 year old guys get jobs and send money home to their families
CCC - Civilian Conservation Corps
CCC workers in Lassen National Forest, California
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Next Step - “Alphabet Soup”
•Government pays farmers not to farm
AAA - Agricultural Adjustment Administration
•Meant to cause prices to rise and halt overproduction
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Next Step - “Alphabet Soup”
•Government runs a hydroelectric power plant
TVA - Tennessee Valley Authority
•Provides cheap power & fertilizer to the poor region
Construction at Norris Dam, which was being built by the TVA on the Clinch River in Northeastern Tennessee
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Next Step - “Alphabet Soup”
•Insurance for the $ you put in banks
FDIC - Federal Department Insurance Corp.
•Protected people’s savings
Bank Employee Checks Depositor's Account
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Next Step - “Alphabet Soup”
•Watchdog agency for the stock market
SEC - Securities and Exchange Commission
New York Stock Exchange
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Next Step - “Alphabet Soup”
•Gave direct relief ($) to those who needed it
FERA - Federal Emergency Relief Admin.
•Beginnings of a welfare program
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Next Step - “Alphabet Soup”
•Taxed people working now to give payments to the elderly
Social Security
Social Security Information Poster
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His Greatest Mistake
Packing the Supreme Court
What?
Why?•Kept declaring his programs unconstitutional (including NRA, AAA, SEC, etc.)
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His Greatest Mistake
Packing the Supreme Court
February, 1937, Richmond (Virginia) Times Dispatch, "Fall In!"
What did this cartoonist think about the Supreme Court?
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His Greatest Mistake
Packing the Supreme Court
Results?
•Public grew angry (FDR taking too much power)
•FDR passed much less legislation after this
Supreme Court Exterior
Success or Failure?
1. Reduced unemployment by 7
million
2. Soil conservation schemes.
3. The Stock Market and banks recovered.
4. Transformed the Tennessee valley.
5. Roosevelt was re-elected.
1. Still 6 million out of work in 1941.
2. The numbers fell due to enlistment and
rearmament in WW2.
3. Black people were segregated from
white.
4. Women were excluded from the
New Deal.
5. Tennessee benefited but many areas were
still suffering.
African Americans Roosevelt’s administration also appointed many African Americans.
William Hastie became the first black federal judge.
A group of African Americans hired to fill government posts were known as the Black Cabinet, and they served as unofficial advisors to the president.
The Black Cabinet met under the leadership of Mary McLeod Bethune, director of Negro
Affairs in the National Youth Administration.
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Problems•Severe discrimination
Thousands of African American sharecroppers and tenant farmers were not helped by New Deal programs.
Southern Democrats in Congress opposed efforts to aid African Americans.
Many African American switch from the Republican Party to the Democratic Party during the 1930s.
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