President Franklin Roosevelt's New Deal: Relief, Recovery, and Reform during the Great Depression

1. Essential Question: • In what ways did President Franklin Roosevelt’s “New Deal” provide relief, recovery, & reform during the Great Depression? • Warm-Up Question: • ?

2. Hoover & the Depression • From 1929 to 1932, President Hoover was criticized for not doing more to end the depression • Unemployment reached 25% • U.S. banking collapsed • Hoover offered gov’t intervention (relief check, job programs) but it was seen as too little, too late • By the election of 1932, Americans wanted hope & strong leadership

3. Unemployment in America, 1929-1942

4. FDR & the New Deal • In 1932, Democrat Franklin Roosevelt (FDR) defeated Hoover

5. “Let me assert my firm belief thatthe only thing we have to fear is fear itself; nameless, unreasoning, unjustified terror which paralyzes needed efforts to convert retreat into advance.” FDR’s inaugural address in 1933 inspired hope

6. FDR & the New Deal • FDR initiated his New Deal, a series of laws that were designed to fight the depression by offering: • Relief: gov’t relief checks & jobs to get people back to work • Recovery: tried to end the depression by stimulating industry & farming • Reform: long-term solutions to America’s economic problems

7. The Hundred Days • In his 1st 100 days in office, FDR &Congress passed 15 major laws • FDR’s 1st action was to address the bank crisis; By 1933, people had no faith in banks • FDR declared a 4-day bank holiday after which banks were allowed to re-open only after gaining a gov’t endorsement

8. Banks recovered & Americans slowly regained confidence in banks

9. FDR’s Fireside Chats Listen to the first few minutes of FDR’s 1st fireside chat in March 1933 in which he explains his bank holiday • FDR used the radio to sell his New Deal programs to the American people • These “fireside chats” used simple , clear language to explain his New Deal programs & gain publicsupport for these goals

10. In groups, examine the information on 1 New Deal program & create a “fireside chat” to explain the program to the class • Draft a fireside chat that identifies the problem & a brief overview of the plan • Do not mention the name of your New Deal program—we will try to guess it • When your draft is approved by the Take notes during presentations After the presentations, match the descriptions of each New Deal initiative found on the back of your notes with the fireside chat presentations

11. New Deal: Relief • The greatest success of the New Deal was its ability to offer relief to unemployed citizens: • The gov’t provided relief checks to 15% of Americans • The gov’t created jobs for Americans

12. Percentage of American Families Accepting Government Relief in 1933

13. New Deal: Relief • Civilian Conservation Corps (CCC) was a work program for young men aged 18-25: • The CCC built roads, soil erosion projects, & parks • The CCC employed 3 million young men

14. CCC workers paved roads, planted trees, built bridges

15. New Deal: Reforms • The New Deal created long-term reforms to address weaknesses in the American economy • Securities & Exchange Commission (SEC) was created to regulate the stock market & prevent another stock market crash

16. New Deal: Reforms • To help restore public confidence in banks, the Federal Deposit Insurance Corporation (FDIC) was created: • The national gov’t insures money in bank accounts (up to $250,000 as of 2006)

17. New Deal: Reforms • The Tennessee Valley Authority (TVA) created hydroelectric power plants in the South • TVA created dams in 7 states to provide cheap hydroelectric power & create jobs

19. New Deal: Recovery • New Deal programs tried to stimulate the economy & end the depression • Agricultural Adjustment Act (AAA) tried to help farmers by paying them not to produce • By lowering supply, the gov’t hoped to increase crop prices

21. Unemployment in America, 1929-1942 The New Deal began in 1933, but by 1935 the Great Depression had not yet come to an end

22. FDR’s Critics • The failure of the New Deal to end the depression led to frustration & criticism of FDR’s programs: • The most vocal critic was Louisiana Senator Huey Long • Long’s Share the Wealth plan suggested taxing all personal income over $1 million to give each family $2,500 per year

23. Huey Long How many men ever went to a barbecue & would let one man take off the table what's intended for 9/10th of the people to eat? The only way you'll ever be able to feed the balance of the people is to make that man come back & bring back some of that grub that he ain't got no business with! …then we've got to call Mr. Morgan & Mr. Mellon & Mr. Rockefeller back and say: “Come back here, put that stuff back on this table here that you took away from here that you don't need. Leave something else for the American people to consume.” Now, how are you going to feed the balance of the people? What's Morgan & Baruch & Rockefeller & Mellon going to do with all that grub? They can't eat it, they can't wear the clothes, they can't live in the houses. But when they've got everything on God's loving earth that they can eat & they can wear & they can live in, & all that their children can live in & wear & eat, & all of their children's children can use,… Huey Long threatened to run as a 3rd Party candidate but was assassinated in 1935 “The Kingfish”

24. Court Packing • The Supreme Court declared 2 recovery programs unconstitutional • FDR feared that the Supreme CourtwouldweakentheNewDeal • FDR’s solution was to ask called court-packing: He wanted to increase the number of justices from 9 to 15 • Congress rejected his radical plan

26. FDR’s Second New Deal • In 1935, FDR launched the Second New Deal • The Works Progress Administration (WPA) was the biggest New Deal program • Created 10 million jobs in a variety of professions & cost the gov’t $10 billion

27. WPA Public Work Project

28. WPA Initiatives

29. WPA Arts Project

30. WPA Music Projects

31. WPA Theater Projects

32. FDR’s Second New Deal • Social Security was America’s 1st welfare program; It created • Old-age pensions to be funded by employers & workers • Welfare payments for the blind, handicapped, & needy children

33. FDR’s Second New Deal • The Wagner Act: • Protected workers right to strike & collectively bargain • Outlawed unfair practices used by companies to discourage union membership

34. Conclusions • FDR’s New Deal created a new role for the U.S. government: • For the 1st time, the gov’t used deficit spending (going into debt) to stimulate the economy • For the 1st time, the gov’t took responsibility for the people & created welfare programs • New Deal successfully offered relief to ease peoples’ suffering, but it did not end the Depression