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Relief, Recovery, and Reform. Relief, Recovery, and Reform. Franklin Roosevelt’s motto for the New Deal was “ Relief, Recovery, Reform .” Relief of people’s immediate suffering; Recovery to help people get back on their feet; and Reform to make sure that the Depression will happen again.
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Relief, Recovery, and Reform • Franklin Roosevelt’s motto for the New Deal was “Relief, Recovery, Reform.” Relief of people’s immediate suffering; Recovery to help people get back on their feet; and Reform to make sure that the Depression will happen again.
New Deal Legislation • Federal Deposit Insurance Corps (FDIC) • 1933 • Government guaranteed depositors’ money so people would not lose their savings if the bank closed or failed.
New Deal Legislation • Public Works Authority (PWA) – 1933 • $6 billion went into the construction of airports, aircraft carriers and hospitals
New Deal Legislation • Agricultural Adjustment Act (AAA) – passed 1933; revised 1938 • Government regulated how much crops farmers grew and how many animals that were slaughtered
Supreme Court Case United States v. Butler • Farmers sued the gov’t saying it could not tell farmers how much to grow or what animals to kill worries about communism! • Farmers won • law revised so that gov’t paid farmers not to grow certain crops or slaughter animals.
New Deal Legislation • Tennessee Valley Authority (TVA) – 1933 • Provided free or cheap electricity to farmers
Relief, Recovery, and Reform 5. National Recovery Act (NRA) – 1935 established fair codes of business practices, gave workers minimum wages and maximum number or hours per week they would work.
Supreme Court Case • United States v. Schecter aka – “The Sick Chicken Case” • Established that only states have the right to control business within a state
Wagner Act (1935) • Allowed workers to unionize • Social Security Act (1935) • Gave pension to retired workers and their spouses and helped people with disabilities
Relief, Recovery, and Reform 8. Securities & Exchange Commission • Supervised the stock market and stopped dishonest practices
FDR & the Supreme Court • Trying to avoid Supreme Court rulings against New Deal legislation, FDR proposes a bill: • Whenever a Supreme Court justices reached 70 years of age without retiring, the president could add a new justice (up to 15) • Congress said “NO” • FDR’s attempt to “pack the court” failed
Impact of the New Deal • The Federal government gets involved in people’s lives and regulates business more! • Increase in presidential power • Increase in power of the Federal gov’t • Federal social programs welfare • Deficit spending starts spending $ you don’t have • Greater concern for workers • Renewal of FAITH IN DEMOCRACY