Ch. 15

[3Dannielle]

Ch. 15 Test Topics

Describe the cycle of the Great Depression?
 
Why was FDR upset with the US Supreme Court and what did he do to try to solve this issue?

FDR

• 32^nd president
• Democratic
• Won 57% vote
• In office from 3/4/1933 - 4/12/1945
• In office during The Great Depression

 

 

What was the New Deal(1st and 2nd) and it's goals(3 R's)?
Why did people criticize the New Deal?
How did the New Deal help:

New Deal

• Groups that FDR created to refurnished our struggling economy
• In effect from 1933-1936
• Passed by congress but was FDR’s plan to further help our country
• 1^st new deal- passed in 1953 lasted till 1934
• Worked to fix the economy from top to bottom
• Based on the trickle down theory. Gov pours money into businesses in order to stabilize buying and selling
• 2^nd – infect in 1934-1936
• focused on restoring the economy from bottom to top
• They tried to turn non-consumers to consumers again
• These programs were based of FDR’s 3 R’s

3 R’s

• Reduce, reuse, recycle (now)
• Relief, Recovery, Reform (then)
• Relieve the unemployed, poor, homeless, all the vulnerable people
• Recover our economy. Ex: bread lines then vs Food organizations now
• Reform the financial system in order to prevent any oncoming depressions

 

Farmers

 AAA

 

• Passed in 1933
• Enacted in 1938
• Lower crops surplus and the value of crops to rise
• Government paid a sum of money to not plant part of there farmland

Unemployed
Work Progress Admin.

• 3.4 million people had jobs
• congress gave 4.8 billion to big buisnesses to epen up and have more jobs
• Men thought it was unfair for the women to have jobs 13% of women had jobs
• Gave people hope because FDR cared & he was doing something to help

Example( bulid buliding you need cemente from another company, plastic from another, metal, ect.)

 

Federal Emergency Relief Act (FERA)

 

• Enacted in 1933
• Main function was to create the federal emergency relief Admin.
• FERA distributed more than 20 million dollars in direct aid to the unemployed
• This was supposed to help the unemployed find new jobs
• Fera had 3 primary objectives

1. Direct relief measures
2. provide work for employable people
3. provide many different types of relief programs

 

Factory Workers/labor

YoungPeople

• National Youth Association
• Helped pay for schooling
• Paid young people to be able to stay in collage
• Work Study basically
• Giving young people jobs to stay in school

 

Banks/business

Home Owners Loan Coorp.

• Founded in 1933
• Job was to refinance homes to prevent foreclosure
• Refinanced people mortgages to long term and fully amortized loans
• Typical length was between 20-25 years
• Helped over 1 million people keep there homes and not have to foreclose
• This was very succeddful
• No longer around today because they wernt turning a profit

Federal Housing Administratiion

• Passsed in 1934
• Creates insurance on mortgage loans
• Passsed in 1934
• Creates insurance on mortgage loans
• Provided insurance on mortage loans for hospitals
• This was sucessful
• Around till 1965
• In 65 it joined the dept.  of housing and urban development
• FHA and the HDU have insured over 34 million home mortages
• Today is now apart of HUD because they wanted to make a better department of housing

 

Elderly

•  

Native Americans

Describe the culture of the 1930's.

 Music

 

• Folk music – Woody Guthrie (singer & guitar player) Huddie Ledbetter (African American wrote songs about his life)
• Musical Movies – Broadway Musicals (Wizard Of Oz, Over the Rainbow ect.)
• Pop – Singers & Dancers (Andrew Sisters, Fred Astaire, Shirley Temple ect.)
• Jazz – Big bands (15 – 20 people)
• Country Western – (hillbilly music) such as gospel, blue grass, western swing, bro/sis duets

Movies

 

• Gone with the wind
• Wizard of Oz
• King Kong
• The adventures of Robin Hood

 

Fashion

 

• 8 mill people were unemployed so people were buying less clothes and stores were going out of business

• Fashion Icon: Coco Chanel “A woman should be two things, classy & fabulous.”
• Women: Hats, dresses, long halter top dresses, lace frocks, negligees, corsets
• Men: Hats, suits, shoulder pads, over coats

 

 

Sports

 

• Javeline throw
• 800 meter hurtles
• hockey
• baseball
• racing
• soccer
• horse racing

 

Fun Facts

 

• Male: 58
• Female: 61
• 3 mill cars sold
• Food prices: 14 cents qt of milk

Key terms:

Hundred Days

 

• 100 days of the new deal and of FDR’s presidency
• FDR best presidency with congress
• Tried and failed and so on

Fireside Chats

 

• FDR giving talks over the radio (Intimate talks with the public)
• Having Faith
• Help support the new deal
• Banks would do better
• These chats became very popular
• People became eager to hear FDR on the radio

 

Deficit Spending

 

• Government spending more than they had (more than collected in taxes)
• This pulled them under farther even though they thought this would get them out of the depression

 

Priming the pump

 

• Priming the well- getting it ready for water to come out
• Trying to help things move along (money -> projects)

 

 

IRA

 

• Allowed Indian’s to use there cultural and traditions
• This replaced the Dawes Act
• Established in 1934, June 18th
• Known as: Wheeler-Howard Act
• John Collier (leader)
• Act was doing more harm than good for the Indians

 

 

CCC

 

• Civilian Conservation Corps
• Also known as Emergency conservation work act
• Operated from 1933- 1942
• Known as Roosevelts Philosophy
• Provided many jobs for men
• 2.5 million men enrolled in 9 years (age 18-25)

 

 

PWA (publics works admin)

 

• Spent 7 billion $ on constructing jobs , maintaining purchasing powers, Improve public Welfare
• “priming the pump”
• Helped construct more than 34,000 projects
• Abolished in 1941

 

Banking/Stock market

 

• (EBRA)
• Banks reopen when financially ready (fireside chat)
• Federal Support
• FDR met with the head of suffering banks
• Passed by congress
• Gave insurance to money people had in banks
• First problem FDR faced
• Many banks failing
• Called for bank holiday
• Bank holiday (when the bank shut down and didn’t open till financially ready, banks were going bankrupt)
• Successful! 65% of banks reopened
• This is not still around because now the banks don’t have those problems. It was a temporary solution
• FSA was passed on May 27^th, 1933
• Benjamin Cohen Drafted
• FDR signed it into law
• Made people feel safer about putting their money into stock market
• Could sell bad stocks just had to admit it was bad
• Prevented people from selling bad stocks
• Stopped inflation of stock prices
• Stopped people from pooling
• Adopted in 1933

 

FDIC

 

• 1886-1933 around 150 attempts to get a deposit insurance company
• Independent agency insures most of your money that is and FDIC insured bank
• People were more confident in putting their money in the banks they knew they couldn’t loose all there money
• It is still around and has made changes since 1933
• Bank feels you can get up to 250,000$ back from the FDIC

 

NRA & NIRA

 

• NRA Established in 1933 by FDR
• NIRA Enforced in 1933
• NRA was made to eliminate competition that would put businesses out of business
• Helped workers by setting minimum wages and max hours
• NIRA was made to get industries to make a code of fair competition
• Purpose was to regulate industry and they
• Gave $3.3 billion to public works project
• NRA was said to be unconstitutional
• Did what the individual states were supposed to do
• It ended in 1935
• NIRA had 2 year expiration and it ended in 1935 because the government shouldn’t do the states job

 

New Deal Project

 

• (SEC)Government commission created in 1934 by congress to regulate the securities markets and protect investors
• The SEC includes the power to register, regulate, and oversee brokerage firms, transfer agents, and clearing agencies.
• They “protected” the new york stock exchange and American stock exchange
• This act identifies and prohibits certain types of conduct in markets
• Companies with more than $10 million in assets whose securities are held by more than 500 owners must file annual and other periodic reports
• Securities exchange commission today charged Daniel Ruettiger and 12 other participants in a scheme to deceive investors into buying stock in his sports drink company

 

Banking act of 1935

 

• Created 8/23/35
• Strengthen the federal reserve board

-Was a bankers’ bank (Very powerful organization)

• Made the FDIC permanent

 

Food, drug, cosmetic act

 

• Passed in 1938
• It gave authority to overlook the production of food, drugs, and cosmetics
• Outlined a suggested lax enforcement
• In recent years it as been tossed aside
• In 1937 someone made a terrible mistake
• Elixir Sulfanilamide Disaster
• Killed 100 patients

 

Soil Conservations & Domestic Act

 

• US federal law that allowed the government to pay farmers to reduce production
• Before this act farmers allowed their soil to be vulnerable to wind causing “black storms”
• It’s a federally owned corporation in the US created by congressional character in May 1933 to provide navigation, flood control, electricity generation, fertilizer manufacturing & economic development in Tennessee’s Valley

• Today the TVA is the largest public power company providing electric power to over 9 million customers in the Tennessee Valley

 

REA

 

• Created  under Roosevelt
• It was created to promote rural electricification
• Some  apposed it because they didn’t want government interaction because they feared it would hurt small businesses
• Thought it was going to hurt economy
• Created cheap electrification
• 1939 288,000 household were provided with electricity through the REA

 

FSA

 

• Gave loans to farmers if they couldn’t get them elsewhere
• Health Plans
• Gave education to farmers on crops
• Started in 1935 part of the New Deal
• Ended in 1944
• Gave out a lot of money
• Average loan (5,000)
• Educated about 455,000 farm families
• Tried to decrease production to raise price of crops & goods
• Helped the poor farmers buy land

 

UHSA

• Created in 1937
• To give money to the states and the less fortunate the opportunity to buy or rent a home
• Very successful