1933-1941

David M Kennedy Example80,000 seat football stadium“You are now unemployed”2/3 will still be unemployed

in four yearsNext week – another 80,000

unemployedContinues for 162 weeks = 13 million unemployed

New DealNew DealFDR’s plan for ending the Great Depression

he saw a national emergencyNew Deal will permanently increase size and power of the

governmentThe National Debt reached a new highGovernment now responsible for Nation’s economy

(3R’s)

Relief - help to those who need it immediatelyRecovery - stimulate economic growthReform - prevent future economic crisis

1st 100 days (March to June 1933)

Assistance and ReformAssistance and ReformEmergency Banking Relief ActEmergency Banking Relief Actdeclared a Bank Holiday

close all banksTreasury Dept. inspected all banksthose that were solvent (good) were allowed to reopennot solvent, remained closed until good

People regain trust in banks and re-deposit money

1933 Glass – Stegall Act / FDIC reorganize bank system, strict standards to follow

creates Federal Deposit Insurance Corp.(FDIC) insures your money in the bank

Up to 5000 then, Today=250,000

1933 Federal Securities Act created Securities and Exchange Commission

(SEC) – supervises stock market, eliminates dishonest practices

Farm Relief/Rural DevelopmentFarm Relief/Rural DevelopmentAgricultural

Adjustment Act (AAA) paid farmers money to

not use parts of their land

reduced cropsraised prices of farm

products

Farm Relief/Rural DevelopmentFarm Relief/Rural Development

Tennessee Valley Tennessee Valley AuthorityAuthority TVA series of dams to

control flooding provide low cost

electrical powerProvided jobs

Employment ProjectsEmployment ProjectsCivilian Conservation Corps

(CCC)paid young men to

live/work in State/National Parks

received daily pay, free food, uniforms, lodging

planted 1.3 million trees by 1942

Employment ProjectsEmployment ProjectsFederal Emergency Relief Administration (FERA)

Helped states provide aid to the unemployed

Citizens wait outside a FERA in Calipatria, CA for relief checks

Employment ProjectsEmployment Projects

Public Works Administration (PWA)Created jobs on

government projects

PWA workers construct a public building in Hartford, Connecticut

Grand Grocery Company. Lincoln, Nebraska, 1942. http://extras.denverpost.com/archive/captured.html

CRITICS EMERGELiberals (left) felt FDR’s program was NOT doing

enough

Conservatives (right) felt that government intervention was TOO much and interfered with our free market economy

Huey LongHuey LongSenator from Louisiana

Nicknamed The Kingfishcritic of FDR

proposed a share the wealth planPut a limit on how much money the

rich could haveassassinated in 1935

About to run for president

1. A home for everyone2. Limit $$$ for rich3. Sets minimum income4. $$$ for elderly5. Education (including

college) for everyone

http://historymatters.gmu.edu/d/5109/

The Supreme CourtThe Supreme CourtBy the mid-1930s, the Supreme Court struck down

the NIRA as unconstitutional (citing too much government control over industry)

The Court also struck down the AAA on the grounds that agriculture was a local matter -- not a federal matter

The Supreme Court -- 1935

The Supreme CourtThe Supreme CourtAngered FDR

Proposed a bill to enable him to appoint more JusticesCritics said he was trying to “pack the court”

Eventually Justices began to resign FDR appointed new JusticesSupport began to favor The New Deal

FDR WINS IN 1936 . . . AGAIN

Second New DealSecond New Dealmade more changes in

U.S. Economypushed for by FDR’s wife,

EleanorShe also pushed for a

bigger role in government for civil rights and women’s rights.

Employment ProjectsEmployment ProjectsWorks Progress

Admininistration (WPA)Created jobs in many

areas Ex. Construction jobs to

positions in symphony orchestras

WPA BUILDS AMERICA

850 airports, 651,000 miles of roads and

streets, and 125,000 public buildingsHired artists, writers and

photographers to create art

The Davis Street School Extension in Atlanta under construction as part of the Works Progress Administration

Program, November 2, 1936

Slave Narratives

WPA Project

SOCIAL SECURITY ACT

The Social Security Act, passed in 1935, had 3 parts:

Old-Age PensionUnemployment

compensationAid to families with

dependent children & disabled (welfare)

The Social Security [H. R. 7260]PREAMBLEAn act to provide for the general welfare by establishing a system of Federal old-age benefits, and by enabling the several States to make more adequate provision for aged persons, blind persons, dependent and crippled children, maternal and child welfare, public health, and the administration of their unemployment compensation laws; to establish a Social Security Board; to raise revenue; and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

Impact/Legacy of The New DealImpact/Legacy of The New Dealpermanently affected role of U.S. Government

increased size, power of Government created social welfare, regulatory agenciesAmericans accepted more involvement now expect Govern.

to solve problemssurvived an enormous crisis without stopping democracy

and freedom

Negative ImpactNegative Impact

increased federal debt ($16 billion -$42 billion)created a large deficit

FDR wins again in 1940 &1944 (four terms!)

RadioRadio

By 1940 90% of homes owned a radio

Movies: Gone with the Wind“American classic in which a

manipulative woman and a roguish man carry on a turbulent love affair in the American south during the Civil War and Reconstruction.” IMDb

Top grossing movie of all time adjusted for inflation

Arts/LiteratureArts/Literature

artists/writers received support from New Deal

John Steinbeck“The Grapes of Wrath”

Woody GuthrieWoody Guthrie

used music to express American life during the depression

GUTHRIE’S MUSIC CAPTURES ERA

Singer Woody Guthrie used music to capture the hardship of the Great Depression

Guthrie traveled the country singing about America

Guthrie

WPA Funded Art

Artist Grant Artist Grant WoodWood

American GothicAmerican Gothic