Monday: Continued going over the 1930's presentation and started on the new deal
All notes for the 1930's are on last weeks blog so they are all together
- Relief, Reform, and Recovery
- Relief for the needy
- Economic recovery
- Financial reform
- How did the New Deal Help...
- Unemployed people
- Young people
- Banks
- Stock Market
- Factory Workers
- Farmers
- Homeowners
- Elderly
- Consumers
- Native Americans
- Reconstruction Finance Corporation (RFC)-1932
- Gave loans to banks, state and local govt's and business' to create projects/jobs for people
- Gave states loans for emergency relief needs
- Started under Hoover
- Dissolved in 1946 after WWII
- Civilian Conservation Corps (CCC)
- Passed in 1933 during the "One Hundred Days"
- The CCC was limited to young me age 18 to 25 whose fathers were on relief
- CCC members worked 40 hours a week and were paid $30 a month, with the requirement that $25 of that be sent home to family
- Members lived in camps, wore uniforms, and lived under military discipline
- The U.S. Army operated the camps
- Planted trees, fought forest fired, stopped soil erosion
- Helped construct military bases during WWII
- Funding stopped in 1942
- Their slogan was "We can take it!"
- National Youth Administration (NYA)
- Established in 1935 and was a part of the WPA
- Pushed heavily by Eleanor Roosevelt
- Served 327,000 high school and college youth, who were paid $6 to $40 a month for "work study" projects at their schools
- It allowed thousands of young people to stay in school
- Another 155,000 boys and girls from relief families were paid $10 to $25 a month for part-time work that included job training
- Unlike the CCC, it included you women
- The youth normally lived at home, and worked on construction or repair projects
- Federal Emergency Relief Act (FERA)
- Enacted in 1933
- FERA distributed more than 20 million dollars in direct aid to the unemployed
- This in turn would help the unemployed to fin new jobs
- FERA had three primary objectives:
- Direct relief measures
- Provide work for employable people
- Provide many different types of relief programs
- Public Works Administration (PWA)
- Established in 1933
- Created as many jobs as possible in many different varieties
- Great example of FDR's "priming the pump"
- Between 1933 and 1939, the PWA funded the construction of more than 34,000 projects including:
- Airports
- Dams
- Aircraft carriers
- Bridges
- Was responsible for 70% of the new schools and 33% of the hospitals built between 1933-1939
- Civil Works Administration (CWA)
- Established in 1933 to create jobs for millions of the unemployed
- The CWA created construction jobs-building bridges, schools, playgrounds, laid sewer pipes
- In just one year, the CWA cost the government over $800 million and was cancelled
- Works Progress Administration
- Established in 1935
- Largest and most comprehensive New Deal Agency
- The WPA was a "make work" program that provided jobs and income to the unemployed during the Great Depression
- WPA projects primarily employed unskilled workers in construction projects across the nation
- The WPA built 650,000 miles of road, 78,000 bridges, 125,000 buildings, and 7000 miles of airport runways
- It presented 225,000 concerts and produced almost 475,000 works of art
- Emergency Banking Relief Act (EBRA)
- Passed five days after taking office- March 1933
- Passed in response to the thousands of banks that closed downs
- Passed four days after FDR announced the Bank Holiday in his Fireside Chat, which closed banks down temporarily
- The EBRA would close down the bank, reorganize it and then reopen the bank when it was stable
- When banks reopened on March 13, 1933, many people put their money back into the banks
- Within a couple of weeks, more than half of the money that people withdrew from banks was put back into banks
- Generally ended the bank runs that was commonplace from 1929-1933
- Federal Deposit Insurance Corporation (FDIC)
- Created by the Glass-Steagall Act in 1933
- Insured people's money in banks up to $1000 (today up to $250,000)
- Passed in response to the bank failures after the stock market crash
- Insures money in savings and checking accounts, money market accounts and CD's
- Federal Securities Act
- Passed in 1933
- Made the stock market a safer place for people to invest their money
- Two goals:
- "Required that investors receive significant information regarding securities being offered for public sale"
- "Prohibited deceit, misrepresentation, and other fraud in the sale of securities to the public"
- Securities and Exchange Commission (SEC)
- Established in 1934 and is still around today
- This organization regulates the stock market
- Made the market more secure and safer for people's money
- National Industrial Recovery Act (NIRA)
- Established "codes of fair competition" aimed at supporting prices and wages and stimulation economic recovery from the Great Depression
- The law created a National Recovery Administration to enforce codes
- The NRA tried to make voluntary agreements with business' dealing with hours of work, rates of pay, and the fixing of prices
- Businesses which voluntarily complied could display the Blue Eagle
- The NIRA also helped create jobs for unemployed workers (building schools)
- Section 7A guaranteed workers the right to unionize
- Declared unconstitutional by Supreme Court
- National Labor Relation Act/Board (NLRA(B)
- Established in 1935
- Conducts elections for unions
- Stresses collective bargaining
- Investigates and fixes unfair labor practices
- Governed by a five-person board whose members are appointed by President
- Fair Labor Standards Act (FLSA)
- Established a national minimum wage- 40 cents/hour
- Established the 40 hour work week
- Guaranteed time and a half for overtime in certain jobs
- Prohibited most child labor
- Still exists today
- Agricultural Adjustment Act (AAA)
- Established in 1933
- Restricted production by paying farmers to reduce the amount of crops planted
- Its purpose was to reduce crop surplus so prices would go up
- The farmers were paid by the federal government for leaving some of their land untilled
- The AAA oversaw a large-scale destruction of existing crops and livestock in an attempt to reduce surpluses
- For example, six million pigs and 220,000 sows were slaughtered in the AAA's effort to raise prices
- Cotton farmers plowed under a quarter of their crop
- Due to the nature of the Great Depression, many United States citizens saw the AAA as cruel
- While people in the cities were starving, the federal government was destroying crops and livestock in the country
- The AAA was declared unconstitutional by the Supreme Court in 1936 because it taxed one group (food processors) to pay another
- The second AAA was passed in 1938
- The second AAA was funded from general taxation, and therefore acceptable to the Supreme Court
- Soil Conservation and Domestic Allotment Act
- Allowed the governments to pay farmers to reduce production so as to "conserve soil" and prevent erosion
- It was a piece of legislation passed in response to the Supreme Court's declaration that the Agricultural Adjustment Act was unconstitutional
- Educated farmers on how to use their lands without damaging them
- Took immediate action to contain the dust bowl's effects by planting trees and native grass
- Three years after the Act was adopted, soil erosion had dropped 65%
- Tennessee Valley Authority (TVA)
- Created to generate electric power and control floods in a seven state region around the Tennessee River Valley
- FDR signed the Tennessee Valley Authority Act cred the TVA on May 18, 1933
- The agency still exists and has grown to become America's largest public power company
- Some criticized the TVA for only helping a specific region not the whole country
- Rural Electrification Administration (REA)
- The REA was created (1935)
- The REA provided farms with inexpensive electric lighting and power and eventually telephone services
- The brought all the electrical appliances that the cities had since the 1920's
- The REA made long-term loans to state and local governments, to farmers' cooperatives, and to nonprofit organizations to do work
- By 1939 rural households with electricity had risen to 25% (up from 10% 7 earlier
- The administration was abolished in 1994 and its functions assumed by the Rural Utilities Service
- Farm Security Administration (FSA)
- Granted small farmers and tenant farmers money to purchase farms
- The Dust Bowl forced a lot of farmers off their farms
- Many farmers bought tractors with money from the AAA thus forcing tenant farmers off the land
- The FSA provided relief to these people
- Home Owner's Loan Corporation (HOLC)
- The typical home loan in 1930 required a 50% down payment and had to be paid off withing 5-7 years at an interest rate of 6 to 8 percent
- Buyers paid the entire interest charge at the end of the payback period in one large payment
- Often they had to take out a second mortgage, at rates of up to 18% just to cover this final payment
- The HOLC was established in 1933 to refinance home to prevent foreclosure
- It was usually used to extend loans from shorter, expensive payments of the 15 years to the lower payment of the 30 year loans
- Federal Housing Administration (FHA)
- The Federal Housing Administration was created in 1934
- Insured loans made by banks and other private lenders for home building and home buying
- The goals of this organization are to improve housing standards and conditions and to provide and adequate home financing system
- In 1965, the Federal Housing Administration became part of the Department of Housing and Urban Development (HUD) and is still around today
- United States Housing Authority (USHA)
- Created in 1937
- It was designed to lend money to the states or communities for low-cost home construction
- Homes were design for low-income and homeless people
- The USHA was absorbed by the National Housing Agency in 1942
- Social Security Administration (SSA)
- Established in 1935
- Provides retirement, disability, and survivors' benefits
- To qualify for these benefits, most American workers pay Social Security taxes on their earnings
- Future benefits are based on employees' contributions
- Each person is given a Social Security Number
- Food, Drug and Cosmetic Act (FFDCA)
- Passed in 1938
- Gave the Food and Drug Administration power to regulate these industries
- Mandated a review of the safety of all new drugs before going to market
- Banned false therapeutic claims in drug labeling
- Authorized factory inspections and expanded enforcement powers by the FDA
- Set new regulatory standards for foods and cosmetics
- Indian Reorganization Act (IRA)
- Passed in 1934
- Abolished the Dawes Act and allowed Native American to govern themselves on a tribal basis
- Allowed Native Americans to manage and keep their own land
- Included provisions to help create job opportunities on Indian Reservations. This had led to many casinos on Indian Reservations
- The Act is still around today
Tuesday: Continued going over the new deals and different groups along with it.... All notes up above
Wednesday: Continued going over the New Deals
Thursday: Finished the New Deal and reviewed for the 1920's test
Friday: No school
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