America gets a New Deal

1. America gets a New Deal Roosevelt’s handling of the Great Depression

2. Problems of the Depression • High unemployment • Too much money in hands of wealthy few • People and families suffering • Overproduction/Farming issues • Banks and stock market fail and not trusted

3. What should the government do? • Direct Relief • Financial Reform • Economic Recovery

4. Herbert Hoover • Republican • Conservative stance to economic problem • Believed depression was part of the normal business cycle • Provided tax cuts and loans to business, “trickle-down effect” • Discouraged federal aid to the poor • Increased commitment to public works • Unpopular because he did too little, too late.

5. Business cycle

6. Franklin D. Roosevelt • Democrat • Liberal stance to economic problem • Increase taxes on the wealth and corporations • Provide direct federal relief to the poor • Massive commitment to public works. Increase government spending to get the economy moving again • Provide aid to farmers

7. 1932 Election • Herbert Hoover (Republican) vs. Franklin D. Roosevelt (Democrat)

8. FDR • “Can Do” attitude gets him elected • Stricken with polio in his 20’s, media did not exploit • FDR looked to “change” things for the better for the country by was of the ”New Deal” • “A new deal for the American people” • FDR • Obama

9. New Deal • Focus to be on the 3 R’s: • Relief • Cash payments or food provided by the government

10. New Deal • Recovery • Bringing the nation back to functioning times • Job creation

11. New Deal • Reform (Financial) • Instituting rules and regulations for businesses to keep similar situations from happening • The New Deal

12. Hundred Days • Lasted from March 9-June 16, 1933 • Congress passes over 15 pieces of New Deal legislation • Expands the federal government’s role in the nation’s economy

13. Bank Holiday • Closed all banks to prevent further withdrawals • Emergency Banking Relief Act • Inspected banks, some closed some given aid • FDIC: Created to provide insurance of bank accounts

14. Fireside Chats • Radio talks by FDR • Explained in clear, simple language his new Deal measures and what they meant • Informal and relaxed • People thought the President was on their level • FDR • Obama

15. Alphabet Agencies • Federal agencies created as part of the New Deal of FDR.

16. Posters • h

17. Housing • FHA (Federal Housing Administration) • Insured loans for building and repairing homes. • HOLC (Home Owners Loan Corporation) • Loaned money at low interest rates to homeowners who could not meet mortgage payments.

18. Employment • CCC (Civilian Conservation Corporation) • Provided jobs for single males on conservation projects • FERA (Federal Emergency Relief Act) • Helped states to provide aid for the unemployed • PWA (Public Works Administration) • Created jobs on government projects that increased worker buying power and stimulated the economy. • WPA (Works Progress Administration) • Quickly created as many jobs as possible – from construction projects to symphony concerts

19. Financial Reform • FDIC (Federal Deposit Insurance Corporation) • Protected bank deposits (now up to $100K) • SEC (Securities and Exchange Commission) • Supervised the country's stock markets and eliminated dishonest practices • NRA (National Recovery Administration) • Established codes of fair competition and guidelines for wages and work time.

20. Rural relief and aid • AAA (Agricultural Adjustment Administration) • Aided famers and regulated crop production. • TVA (Tennessee Valley Authority) • Developed the resources of the Tennessee Valley.

21. Labor and Retirement • NLRA (National Labor Relations Act) • Defined unfair labor practices and settled disputes between employers and workers • SSA (Social Security Act) • Provided a pension for retired workers and their spouses and aided people with disabilites

22. Criticism of the New Deal • American Liberty League accused President Roosevelt of starting a dictatorship. • Conservatives thought the government was too big • Created deficit spending: the government was spending more money than it was making • Anti-business

23. Impact of the New Deal • Created many agencies that still exist today. • Government intervened in the affairs of the economy. • Boosted public confidence and morale. • People could trust the government, banks, and markets again. • Built up American infrastructure

24. Impact of the New Deal • Did it work in alleviating the problems of the Great Depression? • Yes and no. It made some impact but country was still having problems: • High unemployment. By 1937 15% of Americans still unemployed. • Production went up, then went down again. • Created debt from deficit spending.

25. The New Deal ends… What will get the country out of the Depression?

26. World War II… coming up next • f