RUSA new deal & GD Flashcards
African Americans and the New Deal
Challenges Faced:
a) Segregation and Discrimination at State and Local Levels.
b) Limited Access to Housing due to FHA Discriminatory Policies.
c) Discrimination in Employment, e.g., CCC’s Racial Segregation.
d) Agricultural Policies Disadvantaging Sharecroppers and Tenant Farmers.
Native Americans and the New Deal
Challenges Faced:
a) Mixed Results of Indian Reorganisation Act (1934).
b) Initial Exclusion from Social Security.
c) Cultural Impacts: Emphasis on Assimilation through Education.
Sharecropping
Definition:
Sharecroppers: Individuals living on and working land owned by others.
System Overview:
Landowner provides land, housing, and resources.
Sharecropper contributes labor and a share of crops as rent.
Historical Context:
Emerged post-Civil War during Reconstruction.
Opportunity for former slaves and poor white farmers.
Challenges: Debt, limited upward mobility, vulnerability to economic factors.
Great Depression Overview
Herbert Hoover’s Challenge:
Misfortune of presiding over the Great Depression.
Underlying Causes of the Depression:
Economic Isolationism after World War I.
Dominance of American Big Business.
Mass Production leading to Extravagance.
Imbalance in Population Income.
European War Debt and Decline of World Trade.
Role of the Stock Exchange.
Collapse of the American Economy in the 1930s
Reasons:
Overproduction.
Cycle of Depression.
Speculators.
Wall Street Crash.
Consequences of the Great Depression in the USA
Socio-Economic Effects:
The worst depression in U.S. and global history.
Loans recalled, credit suspended, reduced consumer spending.
Factories halted due to overproduction; unemployment soared.
Breadlines, soup queues, and abject poverty became widespread.
Government’s Reaction to the Depression - Hoover’s Approach
Herbert Hoover’s Response:
Initially believed in self-recovery and minimal government intervention.
Established the Reconstruction Finance Corporation in 1931 for loans.
Hoover’s measures were inadequate, leading to increased bankruptcies, unemployment, and a decline in industrial production.
Laissez-faire policies and lack of determined relief efforts contributed to public dissatisfaction.
International Repercussions of the Great Depression
Global Impact:
International trade declined, many nations questioned capitalism.
Democracies struggled to address the economic crisis.
Fascism emerged in countries like Germany and Japan, as an alternative to democracy.
Communism in the USSR remained relatively unaffected and even expanded during the Depression.
Roosevelt and the New Deal
Transition to Roosevelt:
Franklin D. Roosevelt defeated Hoover in the 1932 election.
Roosevelt’s confidence and determination faced the Depression as his first major challenge.
Roosevelt believed in extending government powers to protect common interests against capitalists.
Promised a “New Deal” during the election campaign.
Basis and Principles of the New Deal
Foundation of the New Deal:
Roosevelt’s approach was experimental and aimed at beating the Depression.
The New Deal was not a coherent program but a series of experiments.
Based on three principles: Relief for the destitute, recovery for business and agriculture, and economic and social reform.
The Hundred Days
Roosevelt’s Early Actions:
Depression at its worst when Roosevelt took office in March 1933.
Introduced numerous bills, supported by the “Brains Trust” of advisors.
In the first 100 days, Congress passed bills addressing employment, the Tennessee Valley, housing, railways, agriculture, and industry.
This period laid the foundation for the New Deal.
End of the Bank Crisis
Bank Crisis and Roosevelt’s Response:
Panic-driven withdrawals led to widespread bank closures.
Roosevelt declared a bank holiday and initiated a government inquiry into the banking system.
Roosevelt promised government loans to efficiently run banks.
Banks gradually reopened, and the entire system became more stable.
New Deal and Unemployment - Introduction
Addressing Unemployment:
Unemployment was a severe issue during the Depression.
Government allocated millions for food, clothing, shelter through the Emergency Relief Act.
Various schemes introduced to combat unemployment.
Alphabet Agencies for Recovery - Overview
Alphabet Agencies for Recovery:
Introduction of various agencies with specific purposes.
Example Agencies:
AAA (Agricultural Adjustment Administration)
CWA (Civil Works Administration)
WPA (Works Progress Administration)
SEC (Securities and Exchange Commission)
NRA (National Recovery Administration)
Agencies aimed at stabilizing prices, providing employment, regulating securities, and promoting fair business practices.
Alphabet Agencies for Recovery - Detailed Descriptions
Alphabet Agencies for Recovery - Detailed Descriptions:
In-depth details of several Alphabet Agencies and their purposes.
Examples include AAA, CWA, WPA, SEC, NRA, PWA.
Agencies targeted agricultural stability, employment, securities regulation, and fair business practices.
