Roosevelt’s New Deal

 

Ø      “The only thing we have to fear, is fear itself” – FDR

Ø      The aims of the New Deal were to alleviate distress, create jobs and protect the stock market.

Ø      The first 100 Days:

§         Reorganize the banks through the Emergency Banking Act. Rebuild the banks that could be rebuilt, and install the publics confidence in the banks

§         Cut government spending and use the money to help the needy

§         End prohibition, tax booze and use the tax for revenue

§         The fireside chats. Roosevelt would address the nation every Sunday to let the public know what was happening and what was being done.

 

The 100 Days: March 9 – June 16 1933

 

Ø      Immediately following Roosevelt’s inauguration on March 4th 1933, a special session of Congress met to deal with the banking crisis. FDR held them in session to meet with other crises as well. FDR’s main goals included relief, recovery and reform.

§         Relief for individuals who through no fault of their own were unable to provide for themselves.

§         Recovery of the economy so that business would be able to start hiring people again

§         Reform of the government and the economy to avoid the recurrence of problems that had risen persistently during the industrial age.

These three months constituted one of the most extraordinary outpourings of legislation in the history of Congress. Here are the major measures of the hundred days:

§         March 9 – Emergency Banking Act – passed and approved in 1 day

§         March 20 – Economy Act – Reduced government salaries 15%

§         March 22 – Beer-Wine Revenue Act – Beer taxed to enhance federal revenue

§         March 31 – Civilian Conservation Corps Reforestation Relief Act

§         May 12 – Federal Emergency Relief Act

§         May 12 – Agricultural Adjustment Act; Emergency Farm Mortgage Act – Every major device applicable to farm relief

§         May 18 – Tennessee Valley Authority

§         May 27 – Federal Securities Act – Full disclosure of new securities

§         June 6 – National Employment System Act – US employment service

§         June 13 – Homeowners Refinancing Act – refinanced mortgages

§         June 16 – Banking Act of 1933 (Glass-Steagall Act) creates FDIC

§         June 16 – Farm Credit Act – refinancing based on credits for production

§         June 16 – Emergency Railroad Transportation Act – created NRA. Plant operation restrictions, minimum wages $12-13 per week, limited child labor; limited week to 40 hours, etc…

 

 

End of 100 Days

 

The Main Alphabet Agencies:

 

CCC  - Civilian Conservation Corps; outdoor projects for jobs

AAA  - Agriculture Adjustment Administration: adjust food production

TVA  - Tennessee Valley Authority: jobs building Hydro electric damns

NRA  - National Recovery Administration: pay fair wages to workers

 

 

The Dust Bowl

 

 

“We can never insure one hundred percent of the population against one hundred percent of the hazards and vicissitudes of life, but we have tried to frame a law which will give some measure of protection to the average citizen and to his family against the loss of a job and against poverty-ridden old age” – FDR upon signing the Social Securities Act