AMH2020 Stern Fall 2011 Chapter 21 The New Deal term of President Franklin Delano Roosevelt FDR The New Deal was a series of economic programs passed by Congress during the first During the first hundred days of the administration FDR met with Congress for one hundred days and passed programs and created laws The National Recovery Administration NRA was the primary New Deal agency established in 1933 headed by former General Hugh Johnson senior economic official in WWI The NRA was created by the National Industrial Recovery Act NIRA that allowed indus tries to get together and write codes of fair competition codes were intended to reduce destructive competition and to help workers by setting minimum wages and maximum weekly hours as well as minimum prices at which products could be sold The NRA was a business government cooperation Industry codes for output prices and working conditions were created recognition of labor s right to organize Blue Eagle campaign was launched to mobilize public support for the NRA publicity campaign to boost industrial self government We do Our Part NRA brought leaders in each industry together to create sets of codes for that industry aims restoration of economic vitality and stability and labor management peace outcomes ebbing of public enthusiasm growth of controversy corporate domination weak enforcement minimal effectiveness NRA ended in May 1935 because the Supreme Court declared the NIRA unconstitu tional because it infringed the separation of powers under the US Constitution in the case of Schechter v United States NRA stopped operations but many of its labor provisions reappeared in the National Labor Relations Act long term result was a surge in growth and power of unions industrial production was 55 higher than in was in May 1933 Relief and jobs programs Federal Emergency Relief Administration FERA direct relief for the needy Civilian Conservation Corps CCC public employment improvement of nation s infrastructure Public Works Administration PWA public employment improvement of nation s infrastructure large scale public works construction agency headed by Secretary of Interior Harold L Ickes AMH2020 Stern Fall 2011 created by the NIRA in june 1933 in response to the Great Depression built large scale public words such as dams bridges warships hospitals schools goals to provide employment stabilize purchasing power and help revive economy PWA was less controversial than it s rival agency the Work Progress Administra tion WPA WPA headed by Harry Hopkins WPA engaged in smaller projects in close cooperation with local governments such as building a city hall sewers or sidewalks PWA projects were much larger in scope such as giant dams and bridges WPA hired only people on relief who were paid directly by the federal government PWA gave contracts to private firms who did all the hiring on the private sector job WPA had youth programs projects for women and art projects PWA didn t have market these built public housing for the poor people in cities 25 000 units in 4 1 2 years not as much as they hoped for shut down in 1943 FDR moved industry towards war production the PWA was abol ished and its functions were transferred to the Federal Works Agency Civil Works Administration CWA public employment improvement of nation s infrastructure Tennessee Valley Authority TVA public employment improvement of nation s infrastructure expansion of electric power created by Congress in May 1933 to provide navigation flood control electricity gen eration fertilizer manufacturing and economic development in the TN Valley TN AL MI KY and GA NC VA first large regional planning agency of the federal government TVA was a power supplier and a regulatory agency still in action today nation s largest power company Outcomes mass participation widespread relief emerging opposition long term effects Agricultural Adjustment Act AAA May 1933 restricted agricultural production by paying farmers subsidies not to plant part of their land and to kill off excess livestock purpose was to reduce crop surplus and therefore effectively raise the value of crops the money for these subsidies was generated thru an exclusive tax on companies which pro act created the agency Agricultural Adjustment Administration to oversee the distribution cessed farm products of the subsidies considered the first modern US farm bill production quotas subsidies for removal of land from cultivation AMH2020 Stern Fall 2011 aims revival of farm prices and incomes outcomes revival of farm prices and incomes uneven impact on farmers gains for landowning farmers exclusion and displacement of tenants sharecroppers worsening of rural hardship Dust Bowl and mass displacement of farmers John Steinbeck s The Grapes of Wrath 1936 Supreme Court ruled in US v Butler that the act was unconstitutional for levying this tax on the processors only to have it paid back to farmers regulation of agriculture was deemed a state power housing program Home Owners Loan Corporation HOLC Federal Housing Administration FHA Federal construction of low rent housing aims protection of homeowners from foreclosure expanded access to home ownership in expensive rental housing new construction outcomes preservation or attainment of home ownership for millions affirmation of secu rity of the home as fundamental right further initiatives repeal of prohibition Federal Communications Commission Securities and Exchange Commission overall impact transformation of role of federal government scale of relief and public projects failure to end the Depression reawakening of American labor movement Grassroots revolt preconditions encouraging signals from federal government election of FDR Section 7a of NIRA Wagner Act receding of ethnic differences militant leadership aspirations better wages check on employer power labor rights union recognition labor upheaval of 1934 Nationwide wave of strikes major strikes Toledo auto workers Minneapolis truck drivers AMH2020 Stern Fall 2011 San Francisco dockworkers Textile workers New England to Deep South Rise of the Congress of Industrial Organizations CIO origins split within American Federation of Labor AFL walkout of insurgent AFL leaders proposed by John L Lewis in 1932 founded by 8 international unions belonging to the AFL formed to encourage the AFL to organize workers in mass production industries along industrial union lines within AFL suspended all 10 CIO unions because they failed to change AFL policy
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