(2e) Roosevelt and the Second New Deal, 1935-38 Flashcards
Why did Roosevelt to a more radical second new deal?
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
When was the Emergency Relief Appropriation Act?
1935
What was the Emergency Relief Appropriation Act?
Biggest appropriation of government relief ever, $45.5 billion for public works schemes
What did the Emergency Relief Appropriation Act set up?
Set up the Works Progress Administration which had employed 20% of workforce by 1940 on various schemes
When was the The Revenue Act?
1935
What was The Revenue Act?
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
When was the Social Security Act?
1935
What was the Social Security Act?
First ever direct measure of government welfare, major break break from traditional role of federal gov.
What did the Social Security Act include?
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
When was the Wagner Act (National Labour Relations Act)?
1935
What was the Wagner Act (National Labour Relations Act)?
First time ever that Labour Unions were given legal rights
What did the Wagner Act (National Labour Relations Act) include?
Set up National Labour Relations Board to ensure fair play between employers and workforce in disputes
Initiated in Congress but backed by Roosevelt
What were labour unions like before the Wagner Act?
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.
What was the opposition to the Second New Deal?
The Supreme Court
Wealthy conservatives
What did the Supreme Court start to do in the 1930’s?
As the New Deal developed in the 1930s the SC increasingly declared legislation unconstitutional
What was ‘Black monday’?
‘Black Monday’ 27th May 1935, found several pieces of legislation unconstitutional including NIRA and AAA.
What was the Sick Chicken case?
What did this lead to?
The Sick Chicken case: NIRA prosecuted New York butchers, resulting in Supreme Court declaring NIRA codes unconstitutional
What was the Judiciary Reform Bill?
What was the outcome?
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.
How did Wealthy conervatives oppose the 2nd New Deal?
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
When was the Roosevelt recession?
1937-1938
What was the Roosevelt recession?
In attempt to balance the budget, Roosevelt cut government spending, but economy had not recovered and was very reliant on the New Deal.
What did Unemployment rise to during the Roosevelt recession?
Unemployment rose from 7 million to 10.39 million.
What did National income fall by during the Roosevelt recession?
Fell by 13%
