THE NEW DEAL COALITION

Chapter 12 Section 3 US History THE NEW DEAL COALITION

• ROOSEVELT’S SECOND TERM

• MAIN IDEA – Roosevelt was easily reelected, but the New Deal lost momentum during his second term due to his court-packing plan and a new recession ROOSEVELT’S SECOND TERM

• Since the Civil War African American’s had voted Republican – Lincoln’s party • In the 1930s during the Depression, African American’s began to vote Democrat – Republican’s had not done enough to help African American’s during Depression – Campaign to change votes was lead by Robert L. Vann ROOSEVELT’S SECOND TERM

• Movement of African American’s was part of historical political realignment New Deal triggered – 1936 voters for democrats included white south, farmers, industrial workers, African Americans, ethnic minorities, women, new immigrants and progressives/intellectuals – Eleanor Roosevelt helped bring Women and African American’s to party ROOSEVELT’S SECOND TERM

• President appointed several African American’s to positions in his administrations – Became known as the Black Cabinet – Tried to get public works projects that included African Americans • FDR had similar policy with women – Appointed first woman to a cabinet post • Secretary of Labor “Frances Perkins” – Also appointed female diplomats and a female federal judge • But New Deal paid lower wages then men ROOSEVELT’S SECOND TERM

• The Election of 1936 – Republican’s nominated Alfred Landon (Governor of Kansas) to run against FDR – Landon like some New Deal but thought it was time for a change, did not convince voters – Roosevelt and New Deal remained very popular – Roosevelt won election in one of the largest landslides in American history • 60% of popular vote and go every state but Maine and Vermont ROOSEVELT’S SECOND TERM

• The Court-Packing Plan – People supported the New Deal but not the Supreme Court – 1936, United States v. Butler declared AAA unconstitutional – Other cases pending for Social Security and Wagner Act (might lose New Deal programs!) – Roosevelt angry that popular New Deal programs might be ended so decided to try to change political balance of the court ROOSEVELT’S SECOND TERM – To change system: any judge that severed for 10 years and did retire within 6 months after reaching age of 70, the President could appoint an additional justice to the Court • If passed, Roosevelt could appoint 6 new justices! • The “court packing plan” was Roosevelt’s first political mistake. – Congress thought President was trying to undermine Court’s independence – Split Democratic Party: South feared it would overturn segregation, African Americans worried after Roosevelt another President would pack with people opposed to civil rights – Many feared give President too much Power ROOSEVELT’S SECOND TERM

• Even though it was not successful, Roosevelt’s proposal of the plan made Supreme Court back down – Upheld Wagner Act in 1937 (National Labor Relations Board V. Jones and Laughlin Steel Corporation) – Upheld Social Security Act (Steward Machine Company v. Davis) – Mid July court-packing bill was officially killed in senate ROOSEVELT’S SECOND NEW DEAL

• The Recession of 1937 – 1937 Roosevelt reputation again hurt when unemployment began to rise again – Economy had seemed to be in full recovery, industry back to Pre-Depression levels. – Roosevelt began to balance the budget (cut WPA and PWA a lot) but at the same time first Social Security Payroll taxes removed – Between the two 2 million people were back out of work ROOSEVELT’S SECOND TERM

• Recession led to debate in Roosevelt’s administration – “Henry Morgenthau” Treasury Secretary favored balancing budget and cutting spending • Encourage business leaders to invest in economy – Harry Hopkins (WPA) and Harold Ickes (PWA) disagreed • More government spending using new theory called Keynesianism ROOSEVELT’S SECOND TERM

• Keynesianism based on theories of British economist “John Maynard Keynes” – 1936 argued that gov’t should spend heavily in a recession, even if it required deficit spending, to jump start economy – According to Keynesianism Roosevelt did wrong thing when cutting back programs • Roosevelt didn’t want to continue deficit spending • Critics said this showed that public too dependent on gov’t spending • Spring 1938 Roosevelt asked Congress for 3.75 billion for WPA and PWA to again stimulate economy THE NEW DEAL COALITION

• THE NEW DEAL ENDS

• MAIN IDEA – The New Deal expanded federal power over the economy and established a social safety net THE NEW DEAL ENDS • Roosevelt knew that despite progress in American, many people still poor – “I see one-third of the nation ill-housed, ill-clad, ill- nourished…” • The Last New Deal Reforms – Goal for 2nd term, better housing for nations poor • A lot of support from Eleanor Roosevelt (had seen poor with own eyes) – National Housing Act -> Created United States Housing Authority • 500 million to subsidize loans for buildings providing low-cost housing THE NEW DEAL ENDS

– Roosevelt also wanted to help nations tenant farmers – AAA had hurt tenant farmers by allowing land owners to get rid of them (owners paid to not farm) • Over 150,000 white and 195,000 African American’s left farming due to this – To stop trend, created Farm Security Administration • Give loans to tenants to buy farms THE NEW DEAL ENDS

• To help workers, last New Deal act was Fair Labor Standards Act – Abolished child labor – Limited the work week to 44 hours for most workers – Set first federal minimum wage ($0.25 per hour) – Last major piece of New Deal Legislation – Republicans won seats in congress and were able/began to block New Deal Legislation THE NEW DEAL ENDS • The New Deal’s Legacy – Had limited success in ending the Depression – Unemployment remained high and economic recovery not complete until after World War II – However, gave Americans strong sense of security and stability – Gave Federal gov’t new role of protecting various interests of farmers, businesses, workers, homeowners etc • Supreme court decision also gave federal government more power over economy • Allowed them to mediate between competing groups THE NEW DEAL ENDS

• New Deal established “broker state” – Gov’t works out conflicts among different interests – Broker state has continued since the New Deal • New Deal developed new public attitude toward government – Created “safety net”: safeguards and relief programs to protect against economic disaster – End of 1930s many felt gov’ts duty maintain safety net • Critics say New Deal made gov’t too powerful – Continue to debate how much gov’t should intervene in the economy or support the disadvantaged REVIEW

1. What events weakened Roosevelt’s reputation in 1937? 2. What was the legacy of Roosevelt’s New Deal? 3. What is a broker state? 4. Who was Frances Perkins? 5. What is court-packing?