APUSH Unit 12.3 – The New Deal – Flashcards
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Eleanor Roosevelt
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FDR's wife (niece of TR) who campaigned for her husband; became conscience of the New Deal; championed causes for women, children, poor, and Blacks
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election of 1932
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Roosevelt (D) def. Hoover (R); Blacks began shifting to Democratic party, Roosevelt made vague (somewhat contradictory) promises - balanced budget, cuts in government spending
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21st Amendment
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(1933) repealed Prohibition
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"Brain Trust"
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members of FDR's "inner circle" who were experts, rather than the typical politicians or businessmen
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Francis Perkins, Secretary of Labor
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member of FDR's "Brain Trust" - first female cabinet member
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fireside chats
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radio addresses given by FDR to communicate effectively with the American people; urged Americans it was safer to keep money in reopened banks, restoring America's confidence in banks
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Relief, Recovery, Reform (3 Rs)
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FDR's goals that were encapsulated in the New Deal: short-term included relief and immediate recovery, long-term included permanent recovery and reform, including Progressive ideals
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"First New Deal"
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FDR's first set of New Deal Programs from 1933-1935; included Glass-Steagall Act, CCC, PWA, AAA, NIRA, TVA (Truth-in-securities Act, SEC, HOLC, FHA, FERA)
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bank holiday
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(1933) shut down the national banking system for four days - only the functional banks could re-open - aimed to restore faith in banking industry (accompanied by US taken off gold standard & followed by Emergency Banking Act)
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Emergency Banking Relief Act
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(1933) gave the treasury department the power to open sound banks or merge and liquidate unsound ones
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Home Owners Loan Corporation (HOLC)
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(1933) refinanced mortgages on 1 million non-farm homes at low interest rates - saved many banks as foreclosures prevented; middle-class shifted to Democratic party
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Glass-Steagall (Banking Reform) Act
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(1933) created the FDIC (Federal Deposit Insurance Corporation), which insured small individual deposits, separated commercial banking from speculative investment banking to protect savings accounts
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Federal Deposit Insurance Corporation (FDIC)
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created in 1933 by the Glass-Steagall Act, insured small individual deposits which protected some of peoples' remaining savings
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Securities and Exchange Commission (SEC)
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(1934) designed to protect the public against fraud, deception, and inside manipulation of the stock market
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Civilian Conservation Corps (CCC)
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(1933) most popular of N.D. programs; employed 3 million men in outdoor government camps to keep them out of trouble in 1930s in conservation reform: reforestation, firefighting, flood control, developing national parks - payments sent to families; criticized for being militaristic in nature
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Federal Emergency Relief Act (FERA)
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(1933) created Federal Emergency Relief Administration, which distributed millions of dollars (dole payments) to unemployed workers ; headed by Harry Hopkins
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Harry Hopkins
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head of the Federal Emergency Relief Administration during the New Deal
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"dole" payments
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social welfare payments given to the unemployed by the FERA during the New Deal
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Civilian Works Administration (CWA)
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(1933) a branch of the FERA; gave made-up jobs to 4 million unemployed; highly criticized and terminated in 1934
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Public Works Administration (PWA)
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(1933) created by the NIRA, led by Harold L. Ickes; received 3.3 B from congress for public works projects (modernizing cities' infrastructures), but money not spent quickly enough
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Works Progress Administration (WPA)
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(1935) employed 9 million workers in construction, as well as part-time occupations in the arts, theater, and literary projects (Federal Arts Project)
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Federal Arts Project
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(1935) part of the WPA; gave part-time occupations in the arts, theater, and literary projects
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National Youth Administration (NYA)
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(1935) part of the WPA; provided part-time jobs for students to help them stay in school
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Agricultural Adjustment Administration (AAA)
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(1933) attempted to eliminate price-depressing surpluses by paying farmers to reduce their crop acreage by giving them subsidies from taxes on food processing (ruled unconstitutional by U.S. v. Butler)
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subsidies
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money granted by the government to assist an industry or business so that the price of goods may remain low or competitive
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Butler v. U.S.
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(1935) Court ruled taxation provisions of the AAA as unconstitutional
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Dust Bowl
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(1933) self-induced natural disaster in the mid-west, as a drought struck and several feet of topsoil was blown away, creating an arid desert-like terrain where farming was impossible
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John Steinbeck, Grapes of Wrath
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book written during the 1930s that educated many on the plight of migrant workers in CA
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Rural Electrification Administration (REA)
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(1935) provided loans and WPA labor to electric cooperatives to build lines into rural areas not served by private companies; not completely successful (40%)
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National Industrial Recovery Act (NIRA)
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(1933) most complex/far-reaching of N.D. programs - regulated industry/labor (Roosevelt believed that economy had reached its limit, laissez-faire wouldn't work); attempted to establish fair competition by setting maximum work hours, minimum wages, minimum prices, child labor and production limits - suspended anti-trust laws; Section 7(a) gave workers right to organize and CBA
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Section 7(a)
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(1933) part of the NIRA; specifically guaranteed workers the right to organize and bargain collectively through representatives of their own choosing; banned yellow dog contracts - replaced by Wagner Act
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National Recovery Administration (NRA)
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(1933) organization that enforced the NIRA codes and generate public enthusiasm for the NIRA; led by Hugh Johnson: most famous propaganda "blue eagle" - in short run, businesses improved, but smaller businesses hurt who couldn't adopt NIRA codes; ruled unconstitutional by Schechter v. U.S.
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"Blue Eagle"
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the symbol of the NIRA displayed by merchants adhering to NRA codes with the slogan "we do our part"
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Schenchter v. U.S.
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(1935) Court ruled the NRA unconstitutional; Congress couldn't "delegate legislative authority" to executive branch
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Wagner Act (National Labor Relations Act)
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(1935) most important piece of labor legislation in U.S. history - replaced Section 7(a); reasserted right to organize and bargain collectively; encouraged creation of the CIO for unskilled labor
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Congress of Industrial Organizations (CIO)
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(est. 1935) labor union started by John L. Lewis through the Wagner Act for unskilled labor; organized a sit-down strike in GM factory in 1936; separated from the AFL in 1938
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John L. Lewis
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leader of the CIO (Congress of Industrial Organizations), an unskilled labor union in the 1930s
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sit-down strike, Flint MI
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(1936) a CIO strike that resulted in it being recognized as the sole negotiator for its workers
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Fair Labor Standards Act (Wages and Hours Bill)
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(1938) set minimum-wage and 40-hour week for industries in interstate commerce, prohibited child labor under age 16
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Tennessee Valley Authority (TVA)
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(1933) federal government build a series of dams to prevent flooding and sell electricity; first public competition with private power industries; huge success - provided full employment, cheap power, reforestation, improved navigation - criticized by Conservatives as socialistic
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Federal Housing Authority (FHA)
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(1934) spurred the building industry with loans to homeowners to improve their homes or build new ones; became foundation of modern mortgage industry; minority neighborhoods often denied funding, leading to slums developing in cities
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"red-lining"
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example of the discrimination against Blacks at the federal level; FHA denied minority neighborhoods loans to renovate houses
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Aid to Families with Dependent Children (AFDC)
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(1935) organization created by the Social Security Act that provided financial assistance to children whose families had low or no income
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Indian Reorganization Act
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(1934) repeal of Dawes Severalty Act of 1887; restored tribal ownership of lands, recognized tribal governments, and provided loans to tribes for economic development, ended laws forbidding Indian culture
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American Liberty League
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(est. 1934) group of wealthy Republicans and conservative democrats to fight "socialistic" New Deal schemes - defended business interests, but unsuccessful in defeating FDR in 1936 election
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Father Charles Coughlin
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critic of the New Deal who proclaimed the NIRA and AAA benefitted only industry and wealthy farmers - largest radio audience in U.S. history (40 mill.); called Roosevelt a liar for not nationalizing nation's banks, anti-Semetic and fascist rhetoric resulted in show being cancelled
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Huey P. Long, "Share Our Wealth"
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program created in the 1930s (Long was a critic of the N.D.) that would have supplied every family with $5,000 at the expense of the wealthy; well-liked governor for his humanitarian aid programs; assassinated in 1935
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Dr. Francis Townsend
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critic of the New Deal who organized 5 mill. supporters of his "Old Age Revolting Plan" - advocated giving every senior citizen $200/mo., funded by national sales tax
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Social Security Act
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(1935) far-reaching law inspired by industrialized European nations and pressure from left (Townsend, Long); provided federal-state unemployment insurance, old-age pensions; funded by payroll tax on employers and employees
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"Second New Deal"
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Roosevelt's second set of more-reform oriented programs (influenced by Townshend/Long/Coughlin, destruction of NRA, election of 1936) from 1935 to 1938; included WPA, NYA, REA, Wagner Act, Social Securities Act, Banking Act, PUHC, Revenue Act
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new Democratic coalition
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(during the election of 1936) the new demographic groups who supported FDR: Blacks, unions, intellectuals, political machines, and the South
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Judiciary Reorganization Bill
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(1937) attempt by FDR to remove old conservative justices by imposing a mandatory retirement for justices 70+ yrs; bill did not pass, if it had it would have resulted in 6 new justices, but Court began siding with N.D. programs after
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"court packing"
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criticism of FDR's attempt to pass the Judiciary Reorganization Bill: conservatives believed he was trying to pack the court with liberals
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Recession of 1937-8
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deep recession in the U.S. caused by FDR's reduction of relief programs in early 1937 as he believed the U.S. economy was in recovery - essentially wiped out much of gains since 1933; employed Keynesian economics to get U.S. out of it (resort to deficit spending)
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John Maynard Keynes
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a British economist who came up with a theory about depression and recession (Keynesian economics); FDR used his deficit spending theory to get the U.S. out of the Recession of 1937/8
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deficit spending
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the practice of a government spending money while they are in a recession to jump-start the economy
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"conservative coalition"
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(1938) the emerging Conservative seats in the Senate that threatened new N.D. legislature
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"Lame Duck" period
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period where a president is in his final period of office after a successor has been appointed
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20th Amendment
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(1933) presidential, VP, and Congressional terms would begin in Jan instead of Mar - Lame Duck period too long, especially during Depression
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Truth-in-Securities Act (Federal Securities Act)
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(1933) required companies to transmit to the investor secret information regarding soundness of stocks and bonds
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New Deal Legislature: Banking Crisis
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1. bank holiday 2. Banking Relief Act 3. fireside chats 4. Homeowner's Loan Corp. (HOLC) 5. Glass-Steagall Act / FDIC
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New Deal Legislature: Regulation of Banks and Business
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1. Truth-in-Securities Act 2. Securities and Exchange Commission (SEC)
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New Deal Legislature: Relief/Unemployment
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1. Civilian Conservation Corps (CCC) 2. Federal Emergency Relief Administration (FERA); CWA 3. Public Works Administration (PWA) 4. Works Progress Administration (WPA) / Federal Arts Project 5. National Youth Administration (NYA)
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New Deal Legislature: Agriculture
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1. Agriculture Adjustment Act (AAA) 2. Federal Farm Loan Act 3. Rural Electrification Administration (REA)
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Federal Farm Loan Act
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(1933) gave millions of dollars to farmers in the Dust Bowl who couldn't pay their mortgages; consolidated all farm credit programs into Farm Credit Administration
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New Deal Legislature: Industry/Labor
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1. National Industrial Recovery Administration (NIRA) 2. National Recovery Administration (NRA) 3. Wagner Act (NLRA) 4. Fair Labor Standards Act
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New Deal Legislature: Housing Reform
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1. Federal Housing Administration (FHA)
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Critics of the New Deal
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1. American Liberty League 2. Charles Coughlin 3. Huey Long 4. Francis Townsend
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Criticisms of the New Deal
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1. didn't cure the G.D. - unemployment stayed up; WWII did 2. federal bureaucracy mushroomed 3. weakened states' power 4. national debt doubled 5. U.S. became welfare state 6. FDR tried to purge Congress and Court 7. more farm surpluses
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Support of the New Deal
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1. may have saved capitalism - no rebellion 2. leadership restored pride and faith 3. relieved worst of the 1933 crisis 4. reforms still present today (Social security, labor laws, TVA, FDIC, FHA) 5. fairer distribution of income
