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HISTORY / CHAPTER 1 ROOSEVELT AND THE NEW DEAL

II/ A NEW POLICY : THE NEW DEAL

Introduction

Conclusion

III/ HOW EFFECTIVE WAS THE NEW DEAL ?

I/ THE GREAT DEPRESSION AND FDR’S ELECTION

After WWI, the USA was a leading country in the world, it helped Europe rebuild and its economy was booming. Thus, many ordinary Americans enjoyed a lifestyle that was the envy of millions around the world and were able to buy the latest goods such as cars, radios, vacuum cleaners… However, all of this came abruptly to an end in october 1929 when the Wall Street Stock Market crashed. It led the USA and the world into an economic crisis known as the Great Depression. By 1932, the economic and social situation in the USA was disastruous and many felt it was time for a change in politics. This change was brought about by a new man : FDR who proposed a « New Deal » to the Americans and was elected president in November 1932. To what extend did the ND redefine the American model in order to get out of the Great Depression ?

Every four years, in November, an election is held for the post of President of the United States of America. The two main candidates for the 1932 election were Herbert Hoover (hoping to be re-elected) and Franklin Delano Roosevelt, also known as FDR. This election was taking place in the depths of the Great Depression. What were the two men's ideas for dealing with it? To find out more, go to the next page and explore the different documents. You will need this knowledgeto complete your lesson as well as next wednesday to carry out the activity you will be given.

If you click Here you can get the lesson

The context: Why did Wall Street crash?

The 1932 election

Prohibition infos

Prohibition video

KEY WORDS

• Prohibition
• hobo
• Hooverville
• breadline
• Dust Bowl
• overproduction
• Recovery
• Relief
• Reform
• New Deal

FDR background

Hoover background

Video on FDR (biography)

Video on Hoover

Why did Wall Street "crash"?

A popular way of making money during the 1920s was to "play the stock market". Throughout the decade, share prices constatly rose, so investors would keep their shares for a short time and sell them on a profit. Banks were more than willing to lend money to these "speculators" (or i,nvestors) knowing they would get their money back soon -with interest.

Not all Americans had the wealth to buy luxury goods so the numbers of items that could be sold was limited. As a consequence, American factories were overproducing and profits were beginning to fall. Morever, they were struggling to sell theirgoods abroad because foreign governments had put taxes (also known as "tarriffs") on US goods. Some people began to doubt whether the companies in which they had invested would keep making as much money as in the 1920s. In Sept 1929, some people started to sell their shares because they were worried that they would'nt get their share of company profits at the end of the year. As word spread, more and more people sold their shares and the result was astonishing. Shareholders realized that their shares were only worth something if someone was willing to buy them. As they tried to turn their shares into cash, they dropped their price to attract a buyer. On 24 October 1929, 13 million shares were sold on the New York Stock Exchange on Wall Street. This day is often refered to as "Black Thursday"

Herbert HOOVER(1874-1964)

• Background: He was orphaned by the age of 8 and was raised by two uncles. He studied mining engineering and at 21, he worked as a gold miner for 10 hours a day, 7 days a week. He earned promotions and traveled the world as a mining engineer. He worked hard and became a multi-millionaire by the age of 40. He then retired from mining to enter politics.
• Political Party: He belonged to the Republican Party, traditionally favored by business people especially because the Republicans believed that it wasn't the government's role to interfere too much in the daily life of citizens. (a policy called "laissez faire")
• Ideas for dealing with the Depression: He took office in early 1929 and was soon faced with the Depression. At first, he did'nt do much as he thought that Americans were able to overcome any problem without help and achieve success through their own hard work. As a result he decided to let America recover on its own. But as the Depression lasted, he changed his mind and made money avalaible to states to help their unemployed, lent money to troubled businesses and farms...
• Other information: He was not a great public speaker and his belief in individulaism made him loojk uncaring. This made him unpopular and shantytowns created in cities to house the poor were called Hoovervilles, a sarcastic reference to the president, whom many fely wasn't doing enough to help his people.

Franklin Delano ROOSEVELT (1882-1945)

• Background: He was an only child with very rich parents. he was spoilt and educated at home by private tutors until he was 14. He then went to an expensive private school and studied law at Harvard, America's top university. He married his cousin Eleanore in 1905 and decided to go into politics in 1910.
• Political Party: He belonged to the Democratic Party, despite the fact that many of his family were Republicans. Some historians think that he chose to be a Democrat because it would get him lots of publicity. Others have arguedthat his wife may have influenced his decision because she cared deeply about the poorand the Democrats were traditionally favored by poorer voters.
• Ideas for dealing with the Depression: He became Governor of New York in 1928 and had to deal with the Depression. he spent $20 million of tax money to help the unemployed. He promised Americans the "3 Rs": Relief, Recovery, Reform. He called his new ideas "a New Deal for the American People" and convinced people that it would lead to a better life.
• Other information: He contracted polio in 1921. This spinal disease nearly killed him and he psent 5 years recovering but never fully regained the ude of his legs, and used a wheelchair for the rest of his life. Some historians believe that this disability helped him empathize with ordinary people. Voters liked him because ha had overcome great personnal difficulty and thought this was the right experience to help America recover from the Great Depression.

Source A : A famous election poster published by the Democratic Party in 1932. It makes fun of Hoover's "do nothing" reputation".

Source B : Herbert Hoover's speech in Madison Square Garden, NYC on Oct 31 1932. "This is more than a contest between two men. It is more than a contest between two political parties. It is a contest between two styles of government."

Source C: Part of FDR's famous New Deal speech, July 1932 "I pledge you, I pledge myself to a New Deal for the American people. This is more than a political campaign; it is a call to arms. Give me your help, not to win votes alone, but to win in this crusade to restore America to its own people."

Source D: Election postern issued by supporters of FDR in 1932. FDR promised to end Prohibition, which made him very popular. John Garner, on the right, ran as FDR's vice-president.

Source F: Roosevelt’s pre-election speech, 1932"Millions of our citizens cherish the hope that their old standards of living have not gone forever. Those millions shall not hope in vain. I pledge you, I pledge myself, to a New Deal for the American people. This is more than a political campaign; it is a call to arms. Give me your help, not to win votes alone, but to win this crusade to restore America... I am waging a war against Destruction, Delay, Deceit and Despair...’

Source E: Written by a political commentator after the event."Never before in this country has a government fallen to so low a place in popular estimation or been so universally an object of cynical contempt. Never before has [a President] given his name so freely to latrines and offal dumps, or had his face banished from the [cinema] screen to avoid the hoots and jeers of children."

PROHIBITION Q&A

What does prohibition mean? Prohibition was introduced to the USA in January 1920 – it banned the sale and production of alcohol. What were the names of the two main movements that wanted prohibition? The Anti-Saloon League and the Women’s Christian Temperance Union. What were supporters of prohibition known as? Dries. What arguments did prohibition supporters use against alcohol? • 3000 infants a year were smothered in bed by drunk parents. • WWI – drinkers were accused of being unpatriotic cowards. Most big breweries were run by German immigrants who were portrayed as the enemy. • Dries claimed that drink caused lawlessness. • Drinking was said to encourage the spread of communism after the Russian revolution. • Saloons were seen as dens of vice that destroyed family life. In what areas were the temperance (anti-alcohol) movements strongest? In rural areas. The movement also had a great deal of support among women Was Prohibition a success? Success arguments – Alcohol destroyed: in 1929, 50 million litres of illegal alcohol were discovered and destroyed. Legacy: the actual consumption of alcohol fell, not just during prohibition, but for many years after - did not reach pre-1914 levels until 1971. . Failure Argument - DAMAGE Drinking continued: impossible to enforce (not enough police - only 4000 agents, many of whom were sacked for taking bribes). Available: the liquor trade just 'went underground'. speakeasies (illegal bars), moonshine (illegally-made alcohol), bootlegging (smuggling alcohol to sell). Made criminals of ordinary people Adverse effects: moonshine was poor quality and sometimes killed people.. Gangsterism flourished running the illegal trade: It became hugely profitable, and led to a growth of violence, protection rackets etc. associated with the illegal trade. Corruption grew due to famous gangsters like Al Capone. End: in 1933 the 21st Amendment abolished Prohibition (= 'proved' that it failed).

II/ A NEW POLICY: THE NEW DEAL

Click here to access the drive and these different elements.

Mindmaps

Lesson

Documents

Study of FDR's inaugural adress

III/ WAS THE NEW DEAL A SUCCESS?

Using these documents, answer the following question: How effective was the ND?

COURS

CONCLUSION

​ As a conclusion, we can say that despite oppositions, FDR became the people’s hero thanks to the ND and he was eleceted 4 times as president of the USA. Moreover, democracy survived in America (unlike Italy and Germany). The New Deal became a model of how a democratic government ought to behave. However, the ND didn’t end the Depression. Indeed, Roosevelt's insistence on a balanced budget, healthy interest rates and ‘sound money’ may have helped to continue it and the Depression did not end until the Second World War got production going again.

A video that sums up the chapter

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NEW YORK CITY, A GLOBAL CITY

MT and the liberal economy in the UK

THE UNITED KINGDOM