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Jetzt kostenlos anmeldenDespite the significant efforts of the first round of President Roosevelt's New Deal reforms, the Great Depression still had a firm grip on the United States in 1935.
Many representatives in government had lost faith in President Roosevelt's New Deal initiatives, but Roosevelt was not ready to give up. Starting in 1935, Roosevelt began the Second New Deal, which was the second round of reforms, government acts, and legislation. Continue reading to learn more about Roosevelt's Second New Deal programs.
The New Deal aimed to revitalize the economy through economic, banking, and labor reform, but it did not have the effect President Roosevelt had hoped for. There was still widespread suffering as unemployment, poverty, and homelessness continued to affect the public.
The Second New Deal was the second wave of programs and reforms started by President Franklin Delano Roosevelt in 1935 and built upon the foundation of the first New Deal, which began in 1933. The New Deal and the Second New Deal centered their efforts on the Three R's of relief, recovery, and reform.
The New Deal and Second New Deal
Programs focused on the Three R's: relief, recovery, and reform. According to Roosevelt's plan, the public needed direct relief through government assistance and jobs, the economy needed to recover from the market crash in 1929, and the overall system needed reform to ensure another Great Depression would not happen.
However, after the first phase of the New Deal had concentrated on banking reforms and getting the economy back on track, President Roosevelt decided to refocus his sights on social and labor reform. In general, the Second New Deal programs aimed to reform labor systems and assist those working in farming or industry rather than helping banks or larger organizations.
The programs of the Second New Deal focused on providing relief to the American people through jobs and economic assistance and primarily aimed to help the people that the Depression had hit the hardest: the working class. Providing employment, financial safety nets, and safeguarding workers' rights became some of President Roosevelt's top concerns.
"No country, however rich, can afford the waste of its human resources. Demoralization caused by vast unemployment is our greatest extravagance. Morally, it is the greatest menace to our social order."
-President Franklin Delano Roosevelt, September 30, 19341
Works Progress Administration (WPA)
The goal of the WPA, created in April 1935, was to lower the unemployment rate by creating jobs through public works programs. Workers hired for the WPA completed projects that would benefit the public, such as schools, parks, and highways. Many of the projects completed by the WPA are still standing today.
Public works are government-funded projects that benefit the public. Common public works projects include building schools, bridges, and roads.
However, the WPA did not only focus on infrastructure and construction. People with varying skill sets found work under the WPA - writers and artists were given a job in writing plays and poems, writing murals, or putting on theater productions. Historians were hired to support historic preservation and conduct research. Women were also given jobs in schools and sewing rooms.
The National Youth Administration (NYA) was essential to the WPA. The NYA provided opportunities for the younger generation by providing them with part-time jobs that would allow them to finish their schooling and then complete further education at college or obtain a job after graduation.
The RA was established in April 1935 to assist farmers, sharecroppers, and tenants. They provided loans to assist with growing crops and housing for migrant workers, providing direct financial aid to struggling farmers who needed emergency loans to help pay off debts that had ballooned with the Great Depression.
The RA is also considered a continuation of the programs that FDR began during the first years of the New Deal that had tried to help farmers live off the land that was under extreme stress because of the overplanting that led to the Dust Bowl. The RA also had the authority to address environmental issues affecting farmers, such as erosion, flooding, and pollution.
The Dust Bowl refers to the severe droughts of America's plains and prairies caused by over-plowing farmland, leading the land to turn to dust. The dust-choked and killed livestock and crops, leading to widespread economic devastation.
The RA also resettled farmers and the poor living in rural areas to land better for growing crops and created government-sponsored homes and communities. These communities were heavily criticized as promoting socialist ideals and caused the head of the RA to leave in 1936. This brought an end to the programs until it was succeeded by the Farm Security Administration (FSA) in 1937.
In addition to programs, FDR also tackled the issue of the Great Depression through legislation. The legislative action was through Acts passed by Congress and tax reform.
Sometimes referred to as the "Wealth Tax Act," the Revenue Act of 1935 introduced a sweeping tax reform that significantly increased the income taxes of the wealthy and lowered income taxes for the poor. The Act also bumped up estate taxes and established taxes for corporations. This second Revenue Act raised taxes on wealthy Americans and would not be the last.
The Social Security Act (SSA) created a "safety net" for older Americans who had reached retirement age. This was a way to ensure the older generation's economic security in their retirement and open up jobs and opportunities for the younger generation. The SSA also guaranteed monetary assistance to workers who had lost their jobs and became unemployed, mothers with dependent children, and citizens who were disabled. The SSA is still active today and is considered an essential pillar of the American social welfare system.
The National Labor Relations Act (NLRA), sometimes referred to as the Wagner Act since New York Senator Robert Wagner proposed it, was passed in July 1935. It was primarily passed to replace the previous labor reform law called the National Industrial Recovery Act (NRA), which had been declared unconstitutional by the Supreme Court.
The NLRA created the National Labor Relations Board to monitor private businesses and stop them from treating their workers poorly. The act also protected people working for private companies who wished to unionize, engage in collective bargaining, or go on strike.
Collective bargaining is when unions can negotiate pay, hours, and other issues with their employer.
The purpose of the Second New Deal was the same as the first New Deal: to ensure that the American people had their needs met and worked and to create a system that would discourage another disastrous economic depression. The programs and legislation passed between 1935 and 1936 provided direct relief to the American people through jobs, loans, and financial assistance.
Many critics of the New Deal and the Second New Deal were on both sides of the political spectrum.
Government-created jobs for the sole purpose of lowering unemployment and widespread economic assistance to the public were unheard of before the Great Depression, and conservative critics worried that the government, specifically the executive branch, had been given too much power. The Supreme Court, led by a conservative majority at the time, deemed both the Agricultural Adjustment Act (AAA) and the National Recovery Administration (NRA) unconstitutional due to the amount of power they gave the government. Further, many of the programs involved putting the government into debt.
On the other side, liberal critics stated that the New Deal and Second New Deal did not go far enough in fixing the system for the working class and focused too much on helping banks and the wealthy. Two vocal critics were Upton Sinclair and Huey Long. Long directly challenged Roosevelt in the 1936 election, and part of his platform included a program called "Share our Wealth" that promised a base annual income of $5,000 for each family. This would be supported by raising the taxes of the wealthy. Sinclair, a well-known socialist from California and the author of Animal Farm, believed that the New Deal was not radical enough and would not fix the American people's issues during the Great Depression.
The New Deal and the Second New Deal centered around the three R's; the actions of the first New Deal focused on getting the economy back on track. Both waves of the New Deal gave the government much more power than they previously had in the lives of the American people.
However, the primary focus of the first New Deal centered around the urgent matter of rescuing the banking system and economy after the disastrous market crash of 1929. The Second New Deal focused heavily on social reform and creating a safety net for American families.
Date | Key First New Deal Programs and Legislations |
1932 | Emergency Banking Relief ActGlass Steagall Banking Act Federal Deposit Insurance Corporation (FDIC)National Industrial Recovery Act Created the National Recovery Administration (NRA) |
1933 | Agricultural Adjustment Act Created the Agricultural Adjustment Administration (AAA) |
1934 | Electric Home and Farm Authority |
Date | Key Second New Deal Programs and Legislations |
1935 | Social Security Act (SSA)Works Progress Administration (WPA)Rural Electrification Administration (REA)National Labor Relations Act created the National Labor Relations Board (NLRB)Revenue Act of 1935 |
1936 | Rural Electrification Act |
1937 | Bankhead-Jones Farm Tenant Act |
The Second New Deal is considered the second set of reforms enacted by President Roosevelt during 1935-1936.
Upton Sinclair was a well-known critic of the New Deal and Second New Deal. He believed that they did not do enough to help the American people.
The National Youth Administration (NYA) was established under the Second New Deal as part of the Works Progress Administration (WPA). The NYA provided educational and job opportunities for Americans between the ages of 16 and 25.
The Second New Deal gave workers job opportunities through government sponsored public works projects.
The Second New Deal began in 1935 and ended in 1936.
What were the three R's of the New Deal and Second New Deal?
The New Deal programs focused on relief, recovery, and reform.
When was the Second New Deal?
1935 to 1936
How was the Second New Deal different from the first New Deal?
The programs of the Second New Deal focused more on creating a financial safety net for American citizens and enacting social reform.
What are some of the most prominent programs established during the Second New Deal?
The Works Progress Administration and the Rural Electrification Adminstration.
What was the purpose of the Social Security Act (SSA)?
The SSA provided income for those too old to work, who had lost their job, were disabled, or were mothers with dependent children.
What are considered public works projects? Select all that apply.
Building bridges, roads, or a school
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