(2e) Roosevelt and the Second New Deal, 1935-38

Question 1

Why did Roosevelt to a more radical second new deal?

Answer 1

Responding to the opposition

Congress demanded more, and Roosevelt didn’t want them to set the agenda

Increasingly frustrated by the wealthy classes and big business who opposed him; he wanted to appeal to the less advantaged ranks of society who he felt were often ignored

Question 2

When was the Emergency Relief Appropriation Act?

Answer 2

1935

Question 3

What was the Emergency Relief Appropriation Act?

Answer 3

Biggest appropriation of government relief ever, $45.5 billion for public works schemes

Question 4

What did the Emergency Relief Appropriation Act set up?

Answer 4

Set up the Works Progress Administration which had employed 20% of workforce by 1940 on various schemes

Question 5

When was the The Revenue Act?

Answer 5

1935

Question 6

What was The Revenue Act?

Answer 6

The ‘Soak the Rich’ Act, which increased taxes.

Max tax on incomes over $50,000 went from 50% to 75%.

But only 1% of population earned over $10,000

Question 7

When was the Social Security Act?

Answer 7

1935

Question 8

What was the Social Security Act?

Answer 8

First ever direct measure of government welfare, major break break from traditional role of federal gov.

Question 9

What did the Social Security Act include?

Answer 9

Set up Old Age Pension, although small, set the way for future

Unemployment benefit given for up to 16 weeks

Had to be self financing, people paid into the pension scheme

Significant omissions, such as domestic and agricultural workers

Question 10

When was the Wagner Act (National Labour Relations Act)?

Answer 10

1935

Question 11

What was the Wagner Act (National Labour Relations Act)?

Answer 11

First time ever that Labour Unions were given legal rights

Question 12

What did the Wagner Act (National Labour Relations Act) include?

Answer 12

Set up National Labour Relations Board to ensure fair play between employers and workforce in disputes

Initiated in Congress but backed by Roosevelt

Question 13

What were labour unions like before the Wagner Act?

Answer 13

Labour Unions in the USA had often been treated with hostility by employers, who adopted ‘yellow dog clauses’ preventing employees from joining unions. The NRA outlawed this. However big employers like Henry Ford still intimidated workers.

Question 14

What was the opposition to the Second New Deal?

Answer 14

The Supreme Court

Wealthy conservatives

Question 15

What did the Supreme Court start to do in the 1930’s?

Answer 15

As the New Deal developed in the 1930s the SC increasingly declared legislation unconstitutional

Question 16

What was ‘Black monday’?

Answer 16

‘Black Monday’ 27th May 1935, found several pieces of legislation unconstitutional including NIRA and AAA.

Question 17

What was the Sick Chicken case?

What did this lead to?

Answer 17

The Sick Chicken case: NIRA prosecuted New York butchers, resulting in Supreme Court declaring NIRA codes unconstitutional

Question 18

What was the Judiciary Reform Bill?

What was the outcome?

Answer 18

Roosevelt’s attempt to stop SC opposition was to increase it from 9 to 15 judges, and force them to retire at 70, thus filling the court with Presidential appointments (his choices!).

Did not go through and increased opposition.

Question 19

How did Wealthy conervatives oppose the 2nd New Deal?

Answer 19

Not just Republicans, but more conservative Democrats began to think Roosevelt had too much power

December 1937 Conservative Manifesto issued calling for lower taxes

Mid-term elections 1938 Roosevelt supported liberal rather than conservative Democrats - achieved little

Question 20

When was the Roosevelt recession?

Answer 20

1937-1938

Question 21

What was the Roosevelt recession?

Answer 21

In attempt to balance the budget, Roosevelt cut government spending, but economy had not recovered and was very reliant on the New Deal.

Question 22

What did Unemployment rise to during the Roosevelt recession?

Answer 22

Unemployment rose from 7 million to 10.39 million.

Question 23

What did National income fall by during the Roosevelt recession?

Answer 23

Fell by 13%