HST 102 1nd Edition Lecture 13Outline of Last Lecture II. America Depressed III. Elusive Recovery IV. Part 1: Family Life V. Part 2: Farmer’s Depression VI. Part 3: Hunger Politics Outline of Current Lecture VII. Turmoil VIII. Part 1: Voices of Protest IX. Part 2: The Second New Deal X. Part 3: Critics and Coalitions XI. Part 4: End of the Line XII. What does it all mean?Current LectureLecture 2/26/25Bigger Steps: The Second New Deal - Turmoil o Economic catastrophe motivates First New Deal reforms o Social catastrophe and enduring hardship leads to continued unrest anddisruption o Americans are increasingly challenging the shape of the New Deal by the end of1934- Part 1: Voices of Protest o Senator Huey P. Long  Democratic Governor and then Senator from Louisiana These notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute. Embraces Populist and Progressive traditions, but rules with corruptionand dictatorial power.  Breaks with FDR in 1933 Founds the Share Our Wealthy Society (1934) with a large following:- Taxation and confiscation of significant wealth and income. - Redistribution to guarantee minimum family wages and wealthlevels- Most extreme of the potential reform programs. - Every family in America would receive a $5,000 grant andguaranteed a job w/ minimum income of $25,000 a year.  Increasingly popular and powerful.  “Every man a king”o Father Charles Coughlin  Catholic Priest from suburban Detroit with a national weekly radioprogram with a massive audience - The Radio Priest  Attacks Wall Street and big bankers and demands a nationalized bankingindustry Breaks with FDR in 1934- Believes the president supports the banking industry Founds the National Union for Social Justice -1935 By the late 1930s has become primarily an advocate of anti-Semitism andfascism. o Dr. Francis Townsend  California-based physician  Creates the Townsend Old Age Revolving Pension Plan – 1933:- Americans over 60 years old receive $200/month upon retirement- Must spend the full amount each month.  Gains nearly 5 million followers within two years. Spurs FDR back into action, helps shift policy focus, and makes theadministration policy proposals seem moderate. They expand the politicalwindow by proposing radical solutions. They help shape the 2nd new deal. - Part 2: The 2nd New Deal o A second new deal  After the initial rush of legislation in 1933-34, FDR beings a new wave ofreforms in 1935.  Responding in part to popular discontent and popular demands forgreater action.  Reforms are more extensive and far-reaching.  Embrace some redistributive policies. o WPA FDR now supports even larger programs for direct federal employment.  Approves establishment of the Works Progress Administration - Built and renovate public buildings and roads, funds orchestrasand ballets, writes plays for public enjoyment, creates a new formof entertainment.  Employs more than 2 million people per year in an array of blue andwhite collar jobs. o Social Security  Social Security Act of 1935 Established a national pension system, funded by taxes on workers andemployers.  Provides immediate payments to the destitute ($15), others are eligibleafter 1942 ($10-$85/month)- Puts a tax on employers for those who are laid off receive a loan.  Creates unemployment insurance and aid for the disabled. o A New Deal for Unions The National Labor Relations Act The option for workers to unionize and bargain collectively become afederally protected right.  Spawns a new wave of union organizing, membership doubles from 1930to 1940  The Committee for Industrial Organization (CIO) breaks from the AFL andadopts more confrontational tactics- Like sit-down strikes, where employees would go into work, sitdown, and refuse to work. o When Affirmative Action Was White Many of these New Deal programs are racially discriminatory - Social security and labor protections exclude agricultural anddomestic workers – 2/3 of all black laborers- Labor unions are permitted to segregate by race- Expands racial wealth gaps, pushes African Americans into lessstable and more stigmatized forms of relief. - Part 3: Critics and Coalitions o New Deal Opposition By late 1934, strong conservative objections to the New Deal emerge.  Found the American Liberty League:- Accusations of reckless spending. - Excessive governmental power and regulation.  Significant anti-Roosevelt sentiment in the press and in the businesscommunity. o Order in the Court The Supreme Court looks like the single biggest threat to FDR’s New Deal Had invalidated the NRA and AAA in 1935/36 Concerns that they will quickly strike down the more expansive reforms ofthe Second New Deal Challenges to the Social Security Act and NLRA are looming.o The Elections of 1936 Despite opposition, FDR is reelected in a landslide Economy showed real signs of life by the summer of 1936 An even larger margin of victory than 1932- Biggest in American history- Larger than beating Hoover – beat Al Landon of Kansas- Democrats further increase their popularity o The New Deal Coalition  Realignment of the electorate is complete FDR winds with the support of a varied constituency:- Organized labor- The segregationist South - African American voters in the North - Western farmers. - Part IV: End of the Lineo Court Packing  To protect the New Deal from the Supreme Court, FDR proposes anoverhaul of the federal court system. - A provision to add up to six new Justices to the Supreme Court Does lasting damage to the administration’s reputation and popularsupport But the following month, the balance of the Supreme Court shifts in favorof the New Deal: West Coast Hotel v. Parrish  The Court soon becomes supportive of federal intervention in economicaffairs. o Relapse The economy hits a sharp recession in the summer of 1937. Four million workers lose their jobs in less than a year, industrialproduction drops by 1/3 Called the “Roosevelt Recession” by his opponents  Many in the administration believe it is caused by steep cuts to federalspending. o