Unemployment / Industry & the New Deal Flashcards
National unemployment 1932
around 25%
In some areas extremely dependent on industry concentration of unemployment peaked at what %? e.g some towns in Massachusetts
80%
Action : FERA
$500 million of federal grants made available for distribution by state agencies
to go into retirement benefits / unemployment insurance
Who distributed relief made available by FERA? What does this show a culture of?
individual states
great importance of federalism
What did FERA recognise about the government’s responsibility?
set precedent that it was government’s duty to come to rescue of the vulnerable
Who led FERA?
Hopkins
What did Hopkins admit about FERA in 1936?
“we have never given adequate relief”
Limitations of FERA, what did it not include?
- no health insurance
- excluded farmers / domestic workers
- not enough to sustain - especially in winter
- not regular payments
What types of programmes did FERA support, give examples
wide range
e.g food orders / rural rehabilitation / adult literacy
How long was FERA active for?
3years
DATE : National Industrial Recovery Act
November 1933
What were the X2 branches of the NIRA?
PWA & NRA
Action : NRA
- negotiated codes of conduct for industries
- workers guaranteed right to collective bargaining
How many codes eventually adopted in NRA?
541
NRA codes were found in what % of all US industries?
90%
What did the scale of the number of codes result in?
corruption, collusion, inefficiencies
Purpose / Aim : NRA
coordination between government planners & business leaders to create standards for production / prices / working conditions
What was the logo paraded for NRA products and stores?
blue eagle
What was the relationship between patriotic customers and the NRA?
patriots would only patronise stores following NRA codes (products identified via blue eagle)
What % of annual increase in wages was the NRA directly responsible for during its existence?
26%
What X3 factors did the coal NRA codes introduce?
- ban child labour
- equalised wages
- shorter working week
Which highly influential business man did not subscribe to the NRA codes? what did he instead do? What was notable about the way he paid workers?
- Henry Ford and automobile industry
- although observed a minimum wage
- paid workers the same regardless of nationality
X2 criticisms of the NRA
- didn’t provide immediate relief to unemployed and hungry
2. increased production costs by 40% - so did not help problem of underconsumption
What did the PWA stand for?
public works administration
How / what was the PWA funded?
$3.3billion of federal funding for public works