Chapter 24: The New Deal

The CIO had notable success in organizing which two groups of unskilled workers?

Auto workers and steel workers.

Why was initial implementation of the Agricultural Adjustment Act (AAA) in 1933 was controversial?

Because it favored the interests of large farmers over those of small farmers.

Why did the Supreme Court Declare both the Agricultural Adjustment Act (AAA) and the National Industrial Recovery Act (NIRA) unconstitutional?

Because they expanded the power of the federal government to too great a degree.

Social worker who directed many of the New Deal relief programs.

Harry Hopkins

The Tennessee Valley Authority (TVA) did all of the following except: a. generated electricity for a number of southern states b. controlled flooding in the Tennessee Valley c. improved water transportation in the Tennessee Valley d. converted the Tennessee Valley into one of the most prosperous regions of the country e. employed thousands of men and women to build dams and power plants

d. converted the Tennessee Valley into one of the most prosperous regions of the country

Major New Deal program that attempted to help farmers by limiting the production of crops.

AAA

Why did African Americans begin to vote for Democrats rather than Republicans in the 1930s?

African Americans benefited from New Deal programs.

Did FDR's supporters organized the Liberty League to counter those who argued that FDR was moving the nation toward socialism?

No

Did Father Charles Coughlin believe that Catholic priests should not involve themselves in politics?

No

Did the Agricultural Adjustment Act (AAA) help sharecroppers and tenant farmers more than it helped landowning farmers?

No

Did the National Recovery Administration enable FDR to end the Great Depression?

No

Was FDR's Court Packing plan enthusiastically supported by Congress?

No

Major New Deal program that built dams and generated electric power in the valley of the Tennessee River.

TVA

Did the federal government give great support to labor unions during the Great Depression?

Yes

Did the first crisis of FDR's administration concern the banking system?

Yes

Did the series of dams and related facilities built by the Tennessee Valley Authority (TVA) bring electricity to thousands of people who had not had it before?

Yes

How did the New Deal impact minorities and women?

*African Americans:* The New Deal did relatively little to help them, but the first black members were added to the Black Cabinet and African Americans did gain some benefits and relief from the New Deal, so most of them began to support Democrats after the New Deal. *Indians:* Native Americans were still encouraged to assimilate, but John Collier had become committed to the cause of the Indians after exposure to tribal cultures, so he promoted the Indian Reorganization Act. This restored the right to own land collectively. Even so, they still got land whites didn't want. *Women:* The New Deal did not do much to help them, but it didn't do anything against them. Frances Perkins became the first female Congress/cabinet member. Part of Social Security, the Aid to Dependent Children program, was meant to help dependent mothers. The New Deal generally supported the prevailing belief that in hard times women should withdraw from the workplace to open up more jobs for men.

What was the lasting significance of the New Deal to the American economy and political system?

*Economy:* The most frequent criticisms of the New Deal involve its failure genuinely to revive or reform the American economy. New Dealers never fully recognized the value of government spending as a vehicle for recovery. The economic boom sparked by WWII, not the New Deal, finally ended the crisis. The New Deal had only a small impact on the distribution of wealth among the American people. It helped elevate new groups - workers, farmers, and others - to positions from which they could at times effectively challenge the power of corporations. It contributed to the economic development of the West and, to a lesser degree, the South. It increased the regulatory functions of the federal government in ways that helped stabilize previously troubled areas of the economy: stock market, banking system, etc. The administration helped establish the basis for new forms of federal fiscal policy and the federal welfare state. *Politics:* FDR helped enhance the power of the federal government as a whole. By the end of the 1930s, state and local governments were clearly of secondary importance to the government in Washington. FDR also established the presidency as the preeminent center of authority. It took a weak, divided Democratic Party and turned it into a mighty coalition that would dominate national party competition for more than forty years.

What did the election of 1936 demonstrate?

A large majority of Americans supported Franklin Roosevelt and the New Deal.

Senator and Congressman responsible for Glass-Steagall Act.

Carter Glass and Henry Steagall

The radio priest who supported the New Deal and then turned against it.

Charles Coughlin

Cheerful, hard-working president who led America during the Great Depression.

FDR

From what did most of FDR's success in restoring public confidence in government result?

FDR's optimistic personality and powerful radio speaking voice.

Oldster who wanted the federal government to do more to help oldsters during the Great Depression.

Francis Townsend

What varying historical assessments of the New Deal exist?

Historians struggle to decide whether the New Deal was a good thing or a bad thing. The conservative critique of the New Deal has received relatively little scholarly expression. The dominant view of the New Deal has been an approving, liberal interpretation. Arthur M. Schlesinger Jr. thought the New Deal marked a continuation of the long struggle between public power and private interests. What emerged was a system of reformed capitalism, with far more protection for workers, farmers, consumers, and others. William Leuchtenburg argued that most of the limitations of the New Deal were a result of the restrictions imposed on Roosevelt by the political and ideological realities of his time - that the New Deal probably could not have done much more than it did. Ellis Hawley argued that New Deal efforts were in many cases designed to enhance the position of private entrepreneurs, at times at the expense of some of the liberal reform goals. Barton Bernstein, Ronald Radosh, Thomas Ferguson, and Colin Gordon thought the Roosevelt administration may have saved capitalism but it failed to help and even harmed those groups most in need of assistance. Many historians believe ideological constraints affected FDR and the New Deal and prevented it from doing more.

Louisiana senator who wished the Share the Wealth of the rich.

Huey Long

Anthropologist who restored the tribal system and tribal government to the Indians.

John Collier

First president of the Congress of Industrial Organizations (CIO) who attempted to organize unskilled worker.

John L. Lewis

What political pressures from both the left and the right spurred FDR to embrace both federal relief programs and Social Security after 1935?

Left: o Communist and Socialist Parties Right: o Du Pont Family and the American Liberty League Others: o Dr. Francis E. Townsend: Pensions for the Elderly o Father Charles E. Coughlin: Proposed a series of monetary reforms - remonetization of silver, issuing of greenbacks, nationalization of the banking system o Huey P. Long: Share the Wealth

What were the relief efforts of the early New Deal intended to be?

Limited in scope and temporary in duration.

Influential member of FDR's Black Cabinet.

Mary McLeod Bethune

Major New Deal program that had a nifty Blue Eagle but not much success in ending the Great Depression.

NRA

What did the Federal Government force businesses to do under the National Labor Relations Act (Wagner Act)?

Negotiate with labor unions.

What series of emergency measures were enacted by Roosevelt immediately after his inauguration designed to restore economic confidence?

On March 6, 1933, two days after taking office, he issued a proclamation closing all American banks for four days until Congress could meet in special session to consider banking-reform legislation. So great was the panic about bank failures that the bank holiday created a general sense of relief. Three days later, FDR sent to Congress the Emergency Banking Act, a generally conservative bill designed primarily to protect the larger banks from being dragged down by the weakness of the smaller ones. The bill provided for Treasury Department inspection of all banks before they would be allowed to reopen, for federal assistance to some troubled institutions, and for a thorough reorganization of those in the greatest difficulty. On the morning of the passage of the Emergency Banking Act, FDR sent Congress the Economy Act, designed to convince fiscally conservative Americans (and especially the business community) that the federal government was in safe, responsible hands. The act proposed to balance the federal budget by cutting the salaries of government employees and reducing pensions to veterans by as much as 15% to avoid a $1 billion deficit.

To what was the American Liberty League dedicated?

Opposing the New Deal.

What were the first federal efforts at regional planning?

Other reformers believed that the government itself (as opposed to farmers or business leaders) should be the chief planning agent in the economy. Their most conspicuous success was an unprecedented experiment in regional planning: the Tennessee Valley Authority. Progressive reformers had agitated for years for public development of the nation's water resources as a source of cheap electric power. The TVA was authorized to complete the dam at Muscle Shoals and build others in the region, and to generate and sell electricity from them to the public at reasonable rates. It was also intended to be an agent for a comprehensive redevelopment of the entire region; for stopping the disastrous flooding that had plagued the Tennessee Valley for centuries, for encouraging the development of local industries, for supervising a substantial program of reforestation, and for helping farmers improve productivity. It improved water transportation, virtually eliminated flooding in the region, and provided electricity to thousands who had never before had it. Even so, the Tennessee Valley remained a generally impoverished region.

In addition to providing employment for young men, what was a principal purpose of the Civilian Conservation Corps?

Promote reforestation and land conservation.

What were the Federal Deposit Insurance Corporation (FDIC) and the Securities and Exchange Commission established to do?

Restore America's confidence in the banking system and the stock market.

What did the Indians Reorganization Act (IRA) of 1934?

Returned to Indian tribes the rights they had lost under the Dawes Act.

New York senator who was responsible for the Wagner Act.

Robert Wagner

What were the effects of both the Court Packing scheme and the recession of 1937 on the New Deal?

The 1936 mandate, FDR believed, made it possible for him to do something about the problem of the Supreme Court. No program of reform, he had become convinced, could long survive the conservative justices, who had already struck down the NRA and AAA and threatened to invalidate even more legislation. In February 1937, Roosevelt sent a surprise message to Capitol Hill proposing a general overhaul of the federal court system; included among the many provisions was one to add up to six new justices to the Supreme Court. Roosevelt's real purpose was to give himself the opportunity to appoint new, liberal justices and change the ideological balance of the Court. By the summer of 1937, the economy seemed to be improving. FDR seized on these improvements as an excuse to try to balance the federal budget. Economic conditions were soon as bad as they had been in 1932-1933. The recession was a result of many factors. But to many observers at the time, it seemed to be a direct result of the administration's unwise decision to reduce spending. Both of these lessened support for the New Deal and for FDR.

How did the American Federation of Labor (AFL) differ from the Congress of Industrial Organizations (CIO)?

The AFL organized craft workers by skill, while the CIO organized unskilled workers by industry.

What New Deal programs were enacted by Roosevelt to raise farm prices and promote industrial recovery?

The Agricultural Adjustment Act's most important feature was its provision to end agricultural surpluses and halt the downward spiral of farm prices. Producers of seven basic commodities (wheat, cotton, corn, hogs, rice, tobacco, and dairy products) would decide on production limits for their crops. The government, through the AAA, would then tell individual farmers how much they should produce and would pay them subsidies for leaving some of their land idle. A tax on food processing would provide the funds for the new payments. Farm prices were to be subsidized up to the point of parity. Ever since 1931, leaders of the US Chamber of Commerce and many others had been urging the government to adopt an anti-deflation scheme that would permit trade associations to cooperate in stabilizing prices within their industries. Existing antitrust laws clearly forbade such practices, but FDR created the National Recovery Administration. Business leaders would have the make important concessions to labor - recognize the workers' right to bargain collectively through unions - to ensure that the incomes of workers would rise along with prices. The administration added a major program of public works spending.

What happened as a result of the New Deal?

The American welfare state was established and the American government greatly increased its involvement in the lives of American citizens.

Why did FDR launch the Second New Deal?

The First New Deal failed to end the Great Depression.

What happened when FDR cut government spending in 1937?

The Great Depression worsened.

What New Deal program had the greatest appeal to the followers of Dr. Francis Townsend?

The Social Security Administration (SSA).

Why did Franklin Roosevelt want to change membership of the Supreme Court?

The Supreme Court found many New Deal programs to be unconstitutional.

What changes in the strategies of organized labor took place during the New Deal period?

The emergence of a powerful trade union movement in the 1930s was one of the most important social and political developments of the decade. It occurred because of government efforts to enhance the power of unions and the increased militancy of organized labor. This first became obvious in 1934 when recently organized workers demonstrated a new assertiveness. It was soon clear, however, that without stronger legal protection, most organizing drives would end in frustration. Once the Wagner Act became law, the search for more effective forms of organization rapidly gained strength in labor ranks. The American Federation of Labor remained committed to the idea of the craft union: organizing workers on the basis of their skills. A newer concept of labor organization challenged the craft union ideal: industrial unionism, which argued that ll workers in a particular industry should be organized in a single union, regardless of what functions the workers performed. John L. Lewis created the Congress of Industrial Organizations and expanded the constituency of the labor movement. It was more receptive to women and to blacks than the AFL had been. Autoworkers employed a new technique for challenging corporate opposition: the sit-down strike. Employees in several General Motors plants in Detroit simply sat down inside the plants, refusing either to work or to leave, thus preventing the company from using strikebreakers. They had more success because they were generally backed by the government now because of the Wagner Act.

What did Huey Long's Share-Our-Wealth Plan propose?

The government should confiscate the wealth of the rich and give it to American families.

What was Roosevelt's first concern as president?

The public panic caused by the bank failures.

What was the condition on American women during the New Deal?

They continued to be treated as second-class citizens.

Major New Deal program that built public buildings, roads, and bridges, and employed painters, artists, and writers.

WPA

Did FDR's Fireside Chats enable him to reach the American people and build public confidence?

Yes

Did Senator Huey P. Long of Louisiana gather a national following by arguing that the government should take from the rich to give to the poor?

Yes

Did the Civilian Conservation Corps (CCC) provide employment opportunities for young men?

Yes

Did the New Deal decrease farm surpluses in America by paying farmers not to grow crops?

Yes

Did the US Supreme Court rule that many New Deal programs were unconstitutional?

Yes

Did the Works Progress Administration (WPA) provide government-supported jobs for intellectual and creative workers such as writers, artists, musicians, and actors?

Yes

Did the allegiance of most African-American voters switch from the Republican Party to the Democratic Party as a consequence of the New Deal?

Yes

The New Deal did all of the following except: a. construct the foundations of the federal welfare system b. transform the Democratic Party into the dominant force in American politics for the next thirty years c. preside over the birth of the modern labor movement d. end the Great Depression e. close all American banks

d. end the Great Depression

Which of following was not a government program established during the New Deal to provide work for the unemployed? a. PWA b. WPA c. CCC d. CWA e. LOL

e. LOL

Which of the following provisions was not included in the National Industrial Recovery Act of 1933? a. establishment of the National Recovery Administration (NRA) to set wages and prices in major industries b. the abolition of child labor c. legal protection of the right of workers to form unions d. establishment of the Public Works Administration (PWA) to provide jobs building public works. e. establishment of the Rural Electrification Administration (REA) to provide electricity in rural areas.

e. establishment of the Rural Electrification Administration (REA) to provide electricity in rural areas.