Tim Cantrell

1
The New Deal
LCC

• Tim Cantrell

2
New Deal

• Banking Crisis- This was the first thing FDR had
  to deal with. Bank Holiday All banks were
  inspected for solvency and only the solvent banks
  were allowed to reopen. After dealing with the
  banking crisis, FDR and his team of intellectual
  experts settled in on Relief, Recovery, and
  Reform. I call this the 3 Rs of the New Deal.
• Relief-Civilian Conservation Corps-(CCC)
  Employed 1 1/2 mil. Youths-2600 camps

3
Relief, Contd

• Federal Emergency Relief Administration-(FERA)
  This org. distributed Federal relief funds to
  states to help the unemployed. 25
• Civil Works Administration (CWA)-This gave
  temporary employment to over 3 mil. People in
  1933-34. (Public Projects)
• US Employment Service-helped coordinate a
  national system for finding jobs.
• Public Works Administration-(PWA)-This org.
  worked through private companies

4
Relief, Contd

• Works Progress Administration-(WPA)-This was the
  longest lasting and the best known of all the
  relief programs. This org. spent 5 billion and
  employed 4 mil. people. We piddle around and
  We poke along Two significant parts of the WPA
  were the National Youth Administration-(employed
  college students) and the Federal Arts
  Project-employed actors, historians, artists and
  other professionals

5
Recovery

• Monetary Reform- 1. Dollar devalued 40 2.
  Reciprocal Tariffs Act, 1934- helped recover
  foreign trade by allowing the President to raise
  and lower tariffs. 3. RFC- this organization
  started by Hoover continued 4. Home Owners Loan
  Corporation helped to refinance homes at lower
  interest to avoid foreclosure. This evolved in
  to the Federal Housing Authority-(FHA)

6
Recovery, Contd

• 5. Agricultural Adjustment Act-(AAA)-Two
  different acts passed in the 30s. Both dealt
  with the farm surplus and limiting production 6.
  Federal Farm Loan Act-refinanced farms at 3-4
  and avoided foreclosures 7. Industrial
  Recovery-National Recovery Administration(NRA)
  did not work and parts of it were declared
  unconstitutional. Recovery took a long time and
  did not fully occur until WWII.

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Reforms

• 1. Monetary Reform- Glass-Steagal Act-controlled
  speculation in the stock market by banks and
  created the FDIC FSLIC to insure bank deposits.
  We also stopped backing money with gold and quit
  making gold coins. 2. Wagner Act, 1935-guaranteed
  the right of labor to organize for collective
  bargaining and set up the National Labor
  Relations Board to conduct union elections. This
  resulted in the CIO in 1937.

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Reforms, Contd

• 3. Social Security Act, 1935-probably the most
  significant of all. This would prevent old
  people from hunger and homelessness in the
  future. Joint effort by employer and employee.
  Started out at 3 each. Now 7.65 each, and has
  had the addition of dependents, Medicare,
  disability early retirement (age 62). 4.
  Tennessee Valley Authority(TVA)-system of dams
  which produce electricity, flood control,
  recreation

9
Reforms, Contd

• 5. Rural Electrification Administration
  (REA)-Loaned money to private utility companies
  for providing electricity to rural America.
• All these reforms have worked and we have not had
  another stock market crash or another Great
  Depression, but it did bring the government into
  our lives and Government has taken the
  responsibility for maintaining a sound economy.
  

10
Conclusion

• Election of 1936-was a referendum on the New
  Deal. FDR, running against Alfred M. Landon of
  Kansas carried every state except ME VT. A
  little excitement was created before the election
  by Huey Long, Father Coughlin, and Wm. Townsend.
  Neither got very far and Long was assassinated in
  1935. After the election, Court Fight, defeated
  by Conservative Coalition and foreign
  affairs dominated our interest.