The Great Depression

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					                       The Great Depression
                           1929 - 1941
                           U.S. History

**The 1920s were booming times. People got rich, but many
economic problems developed. They would lead to one of the top two
most difficult times in the history of our country.

Reasons for the Great Depression:
    1) Uneven Wealth: The rich got richer in the 1920s.
         - Just .1% of the population held 34% of the country’s total
              - The unevenness of the 1920s would make rapid
              recovery impossible.

    2) Overspeculation: People wanted to get rich quick.
         - Stock market was a bull market. (upward trend in stock
              - People took too many chances in the stock market.
                  - Prices rose above the true wealth of a company.
                        - Small investors entered market with entire
                        life savings.
                              - Stock market based on optimism, not
                              real value.

         - People were not interested in the company that they were
         investing in; they were only interested in its stock going up

    3) Margin Buying: Buyers could not afford to buy stocks at full
          - Buyers would pay a fraction of the price and the broker
          would pay the rest.
               - Brokers could demand payment at any times.
    4) Unbought Consumer Goods: Warehouses were full of goods
       from the 20s.
          - Wages rose but not as fast as production
              - People could not afford to buy goods.
                   - Overproduction occurred. Workers were laid

    5) Government policies: Government allowed such a small
       amount of money circulation that the economy was unable to
         - A laissez faire policy.

    6) Business Cycle: The regular ups and downs of the economy.

    7) Too much credit: People bought most things on credit.
        - People had so much debt, that when things crashed, they
        were sunk.
            - Banks loaned out too much money, and when
            people could not pay them back, they would crash.
                 - Installment Plans

    8) Farm Debt: continued to pile up due to traditional low
         - A severe drought was adding to the farmer’s difficulties.

Stock Market Crash:
    - Early in 1928, stocks climbed high.
        - The Dow Jones Industrial Average, which is the average
        of stock prices of leading industries, reached an all time
        high of 381 in September 1929.

    - On October 23, the stock market fell 21 points in an hour.
      The next day, Thursday, October 24, worried investors began
      to sell, and stock prices fell. Falling prices panicked others,
      who also sold quickly at any price. Black Thursday.
         - Bankers such as J.P. Morgan pumped money into the
         economy to stabilize the industry.

    - On Monday, investors all over the country raced to get out of
    the market.

    - On October 29, 1929, Black Tuesday, a record 16.4 million
    shares were sold. The stock market crashed.

    - By November 13, losses amounted to 30 billion dollars.
        - Brokers and banks called in their loans but people did not
        have the cash to pay them.
            - The economic slide would take more and more
            people down with it.
                  - Ripples of the Depression spread throughout
                  and beyond the U.S.

Hoover and the Depression:
   - President Herbert Hoover said that the depression should be
   blamed on the world economic system, not on problems in the
   U.S. economy.
        - He first believed that confidence and good feelings would
        get our country over the hump and out of the depression.
             - He approached the Great Depression with a sense of
             gradualism. Hoover was influenced by his secretary
             of treasury Andrew Mellon.

    - Mellon was a proponent of trickle down economics. He
    believed that the benefits of the rich would trickle down to
    the poor in the form of jobs and wages.
         - He suggested to Hoover to let the depression run its
         course. Within time the economic difficulties of the
         nation would cycle back up.

- Hoover did not support direct handouts to the needy, for that
would destroy the American spirit. What he instead believed in
was trickle down economics.
     - Hover gave emergency grants to large businesses so that
     their success would trickle down to all levels of

- Hoover gradually realized that he needed to act because the
depression was beginning to affect millions.
    - In reaction, Hoover drew a line at direct intervention. He
    remembered the red scare and was extremely afraid of
    becoming a “super state” or socialistic.
         - Socialism = government control of economy and
               - Any type of federalism at such a massive level
               would be at the expense of civil liberties.

- Hoover mainly wanted state and local governments to handle
relief, but their programs rarely had enough money.

- In order to protect domestic industries from foreign
competition, he passed the Hawley-Smoot Tariff which was the
highest import tax in history.
     - The tariff backfired on Hoover. European countries
     quickly raised their own tariffs and that brought a sudden
     slowdown in international trade.
              - Sinks the world further into the Great Depression.

Worldwide Effects:
    - Due to the U.S. collapse, the global economic system began to
    crumble even further. The U.S. was connected to Europe by 1)
    international trade and 2) Dawes plan.

         - The U.S. invested in Germany so they could pay their
         reparations. Now the U.S. had to leave Germany, so
         therefore they could no longer pay the allies.
              - The allies’ economy depended heavily on
              reparations, so they, along with Germany fell deeper
              into a depression.

    - Hoover did the largest government spending to date, but it was
    too little too late.
          - An example was the was the Hoover Dam. Under
          President Hoover construction on the Boulder Dam began
          in 1930, later renamed the Hoover Dam.

Workers and Farmers:
   - Indicators:
   - The U.S. had no unemployment insurance programs.
         - By 1932, ¼ of the labor force was unemployed.

    - The GNP was cut in half.
        - GNP = Gross National Product = the total value of all
        goods and services produced in a given year.

Banks Close:
    - Banks must have the interest they earn from lending out their
         - They assume that not everyone will claim their deposits
         at once.
              - After their crash, people with loans to repay rushed
              to withdraw their money.

    - Thousands of banks closed their doors when they could not
    return their depositors money or sell foreclosed properties.
         - In just a few years, over 5,500 banks failed.
              - By 1933, the money from 9 million savings
              accounts had vanished.

RFC: Reconstruction Finance Corporation:
   - Another action taken by Hoover was the passage of the
   Reconstruction Finance Corporation (RFC) in 1932.
       - The RFC was a government owned corporation that gave
       loans to banks, railroads, and other financial institutions.
            - Again the RFC did not fall outside of Hoover’s
            economic philosophy.

    - He believed that “emergency loans” from the RFC would
    “trickle down” to smaller companies and bring recovery.
    Democrats said that only the rich would benefit

   - By election year 1932 millions were unemployed and in a
   state of desperation.
         - Hoover’s belief of rugged individualism did nothing to
         prevent the rise of Hoovervilles.

    - The hardest hit were those at the bottom of the economic
         - Many people became drifters.

              - Homeless people often built shantytowns with
              shacks of tarpaper, cardboard, or scrap material.
                  - These homes became known as Hoovervilles,
                  which mocked the President whom people
                  blamed for the crisis.

Bonus March:
    - Another group caught in the web of depression was the
    unemployed WWI Veterans.
        - For relief, in the summer of 1932, they organized the
        Bonus March.

    - 15,000 veterans marched on Washington demanding that the
    government pay them a promised bonus for serving in WWI.
    The bonus was to be paid in 1945….it was 1932.
         - Congress refused to pay the bonus early and all but 2,000
         returned home.
              - The veterans that remained built a hoovervilles near
              the capitol. After 3 months of protest and clashed
              with Washington police, Hoover ordered General
              Douglas MacArthur to break up the encampment.
                   - MacArthur used tanks and tear gas, causing
                   many Americans to view Hoover as Heartless
                   and uncaring.

Other Problems:
    - Caused serious physical and psychological impact on the
    entire nation.
         - People became depressed….many considered suicide. . . .
         many took their own lives.

    - Health:
        - Some starved, thousands more went hungry.
              - Children suffered most from the long-term effects of
              poor diet and inadequate medical care.

    - In the country, people grew their own food and ate berries and
    other wild plants.
         - In cities, they sold apples and pencils, begged for money
         to buy food, and fought over the contents of restaurant
         garbage cans.

    - Men and women waited in breadlines for bowls of soup and
    pieces of bread.

    - Families moved in together..very crowded conditions.
        - Couples postponed wedding plans.
             - People gave up small pleasures.

    - Men were embarrassed to be seen at home during working
        - Men were ashamed to ask for help or apply for relief.

    - Discrimination increased for African Americans in the South.
         - Some white Americans declared openly that African
         Americans had no right to a job if whites were out of work..
              - Lynchings increased.

Surviving the Great Depression:
    - The Depression changed people’s feelings about banks,
    business, government, and money.
         - The Depression Generation continues to pinch and save
         before buying anything.
              - They save everything.

    - People pulled together to help each other.
        - Groups set up soup kitchens and breadlines to feed the

Truly the End of an Era:
    - One by one, symbols of the 1920s faded away.

    - Al Capone went to prison for tax evasion.

    - Boxing Champ Jack Dempsey was defeated.

    - Babe Ruth retired.

    - In 1932, the infant son of Charles Lindbergh was kidnapped
    and murdered.

    - In 1933, Calvin Coolidge, a symbol of the age of prosperity,

                          The New Deal
                  President Franklin D. Roosevelt

Hoover Loses Popularity:
   - Many people blamed Hoover for all of the problems in the
        - He argued that direct federal relief would destroy
        people’s self-respect.
             - His refusal to help the needy brought bitter public
             reaction and negative publicity.
                  - Bad times were “Hoovering over us”

Election of 1932:
    - John Maynard Keynes, a British economist who said massive
    government spending could help a collapsing economy and
    encourage more private spending.
          - FDR would do this.

    - In 1932 Democratic Presidential Candidate Franklin Delano
    Roosevelt announced “I pledge myself to a new deal for the
    American People.”
         - Franklin and his wife Eleanor made an amazing political
                   - After losing his bid for Vice President in 1920,
                   he later came down with Polio and never walked
                   without help again.
                        - Unlike Hoover, he was ready to
                        experiment with government roles.
                              - He had a genuine compassion for
                              ordinary people.

- FDR won the election of 1932 by a landslide, but it was the
words of Roosevelt’s inaugural address that gave most of the
country a renewed hope.
    “So first of all let me assert my firm belief, that the only
    thing we have to fear is fear itself.”

- The worst period of the Great Depression was the Lame Duck
Session of Hoover.
     - The lame duck session was 4 months. During this time
     period, 25% of Americans were unemployed with no
     welfare or unemployment benefits.
          - Those that did manage to keep their jobs averaged a
          40% pay cut.

- In 1933 Congress and the nation passed the 20th Amendment
referred to as the Lame Duck Amendment. It shortened the time
period between the election and the inauguration moving the
inauguration from March to January 20.

     - Eleanor Roosevelt:
         - She strongly supported New Deal programs and
         traveled all over the U.S. for her husband.
              - She visited coal mines, sewing rooms, and
              housing projects.
                   - She held her own press conferences.

The New Deal:
    - Roosevelt’s personality and willingness to experiment won
    him the support of the American people.

    - “This nation asks for action and action now”

    - “In the event that congress shall fail, I shall not evade the clear
    course of duty that will then confront me. I shall ask the
    congress for the one remaining instrument to meet the crisis.
    Broad executive power to wage war against the emergency”.

           - It was becoming clear that the New Deal programs would
           fall under the heading of the 3 – Rs.

               - Relief: short term – for people out of work.
               - Recovery: short term – for business and the
               - Reform: long term – of American economic

    Brain Trust:
        - To formulate the New Deal, Roosevelt relied on a group
        of advisors who were experts in the field of economics
        concerning farm, industry, labor, and social welfare.
             - Because of their academic background, the news
             media labeled them the Brain trust.

The Hundred Days:
    - During a period known as the Hundred Days, FDR
    quickly pushed program after program through Congress to
    provide relief, create jobs, and stimulate economic

    - To fulfill a campaign promise, Roosevelt called for an
    end to prohibition.
         - Thus the 21st Amendment was passed in 1933
         repealing the 18th Amendment, bringing prohibition to
         an end.
              - “Let the good times roll”

Bank Holiday:
    - Now it was time to sell the New Deal to the American
        - Roosevelt went on the radio in March 1933 to
        present his first “fireside chat”.
             - This method will become the way that
             Roosevelt chose to communicate with the
             American people.

    - “My friends, I want to talk for a few minutes with the
    people of the United States about banking…”
        - His warmth and steadiness assured millions of

    - His first step was to restore public confidence in the
    nation’s banks and work to repair problems in the system.
         - On March 6, he ordered all banks to close and
         pushed Congress to pass the Emergency Banking Act
         which authorized the government to inspect the
         financial health of all banks.

         - Known as the Bank Holiday. The ones that would
         reopen would be the ones on strong economic ground.
              - It also established the Federal Deposit
              Insurance Corporation (FDIC) to insure bank
              deposits up to $5,000.00.
                    - This went into effect by way of the Glass-
                    Steagall Banking Reform Act.

    - To “fix” the money problems, Roosevelt prevented the
    exportation of gold – to build confidence – and he took the
    country completely off of the gold standard and then
    increased the value of gold
          - This would raise prices, hoping to create inflation –
          putting more Money into circulation.

     - Short Term Remedy.
          - The FERA was set up to give direct grants to states
          to use for aid. It was used to furnish food and clothing
          for the unemployed, ill and aged. It was the Federal
          Emergency Relief Administration. (1933)
                - The government also put federal money behind
                public works programs. These were government
                funded projects to build public facilities.

     - The FERA was under Roosevelt’s advisor Harry
         - Hopkins understood the depression. When another
         advisor suggested that a particular program would
         help in the long run, Hopkins replied: “People don’t
         eat in the long run – they eat every day”.

     - FDR wanted to conserve the environment so the CCC, or
     Civilian Conservation Corps, was created. It put 2.5
     million unmarried male (ages 17 to 25) workers into forest,
     beach, and park maintenance and restoration projects. It
     was his favorite program.
          - They earned $1.00 a day but were boarded in camps
          and received military style job training.
               - Plant trees, drained swamps, fighting forest
               fires, and stopping soil erosion.
                     - They sent $22 a month home to families.

    Recovery and Reform:
        - Long Term Cure
            - The NIRA (National Industrial Recovery Act) was
            passed in 1933 to bolster industrial prices and help
            businesses and industries.
                 - The act drew up codes to regulate wages,
                 working conditions, production, and prices. It set
                 up a minimum wage and gave organized labor
                 collective bargaining rights.
                      - Very controversial because it was
                      designed to limit production so prices would
                      go up……however, producers still HAD to
                      make a profit in order to pay fair wages.
                           - Fair wages, 40 hour work week….so
                           much regulation…were we becoming a
                           corporate state.

              - Symbol of the NRA was the Blue Eagle…many
              stores proudly displayed this symbol in their windows.
                   - “We Do Our Part” – motto of the NRA.

              - The best part of the NIRA was the PWA (Public
              Works Administration). They built bridges, roads,
              dams, etc.
                  - It was designed to “prime the pump”.

Farm Problems:
    - Farm families suffered as low food prices cut their income.
    They could not afford to pay their mortgages or taxes, so they
    lost their farms to banks. In the South, tenant farmers and
    sharecroppers were forced off the land they had farmed.

              - AAA (Agricultural Adjustment Administration): Its
              purpose was to raise farm prices.
                  - The AAA used proceeds from a new tax to pay
                  farmers not to raise certain crops and animals.
                       - They hoped the lower production would
                       raise prices.
                            - Farmers often destroyed animals and
                            plowed under crops. (Millions of hogs
                            and cows were butchered and donated
                            to soup kitchens.)
                                  - Prices did go up due to law of
                                  supply and demand.

The Dust Bowl:
    - Dust storms began in the Great Plains in the 1930s.

    - Reasons for the Storms:
        1) Severe and lengthy droughts
        2) Over plowing of the land

    - The most severe storms were called the black blizzards.
        - Dirt darkened skies all the way to the east coast.

    - 60% of the people in the Dust Bowl lost their farms during this
         - 440,000 people left Oklahoma during the 1930s. They
         would be known as Okies.
             - Nearly 300,000 people left Kansas.
                  - Most migrated to California to work on farms
                  there as laborers.


- American Author John Steinbeck portrayed an “okie” family
who fled the Dust Bowl to attempt a new life in California.
    - The Disillusioned family only found greater tragedy.
          - For this book, The Grapes of Wrath, Steinbeck won
          the Pulitzer prize.

- TVA (Tennessee Valley Authority): It was one of the most
successful new deal operations.
    - It helped farmers and created jobs in one of the country’s
    least modernized regions. The TVA reactivated a
    hydroelectric power facility that was started in World War
          - Therefore it provided cheap electric power, flood
          control, and recreational opportunities to the entire
          Tennessee River Valley.
               - They built 38 dams and several power stations.
               The TVA greatly improved the region’s standard
               of living.

                     Second New Deal

- Roosevelt’s first two years in office was focused on relief
even though recovery was included.
    - In the summer of 1935 the 2nd New Deal began, focused
    more on recovery and reform.

- Most of the public remained behind Roosevelt. In 1935 he
launched a bolder series of programs that many have called the
Second New Deal.
     - New agencies attacked joblessness more aggressively.

- Harry Hopkins became even more prominent in Roosevelt’s
administration when he headed up the new relief agency, the
Works Progress Administration.

- The WPA (Works Progress Administration): It started in 1935
and lasted 8 years.
     - It provided work for more than 8 million citizens. They
     constructed or improved more than 20,000 playgrounds,
     schools, hospitals, and airfields.
           - The WPA also supported the creative work of many
           artists and writers.

- The second new deal also created the Rural Electrification
Administration, REA.
    - It’s purpose was to provide cheap electricity to isolated
    rural areas.

    - In 1934, Congress set up the SEC (Securities Exchange
    Commission). Its job was to regulate the stock market.
             - The SEC also gave the Federal Reserve Board
             power to regulate the purchase of stocks on margin.

    - One of the early reforms Roosevelt made was when he came
    into office was to appoint Frances Perkins as the first woman to
    hold a cabinet position.
         - She became very instrumental in the New Deal’s position
         on Labor.

         - The Wagner Act:
                 - The National Labor Relations Act
                           * gave workers right to join unions
                           * prohibited employers from
                           interfering in union activities.
                           * gave workers the right to bargain
                           collectively (negotiations between an
                           employer and a labor union on wages,
                           hours, and working conditions)

Success of Labor Unions:
    - The New Deal had legalized labor unions and this
    permanently changed the relations between workers and
    employers in America.
         - New Labor Union:
             - In 1935, John L. Lewis head of the United Mine
             Workers, joined with other AFL unions to create a
             Committee for Industrial Organizations (CIO) within
             the AFL.

              - It sought to organize the nation’s unskilled
              workers. They sent organizers into steel mills,
              auto plants, and textile mills.
                    - They welcomed workers regardless of sex,
                    color, or skill.
                         - In 1936, the AFL suspended the CIO
                         even though the CIO had 2 million
                         members. In 1938 they changed their
                         name to the Congress of Industrial
                         Organizations and formed a new labor

    - Under the New Deal, Labor’s final victory was the
    passage of the Fair Labor Standards Act.
         - It established:
               * minimum wage (40cents an hour)
               * 40 hours per week (time and ½ for overtime)
               * child labor restrictions.

- The Social Security Act:
    - This act established a system that provided old age
    pensions for workers; survivor’s benefits for victims of
    industrial accidents; unemployment insurance; and aid for
    dependent mothers and children, the blind, and the
    physically disabled. (age 65)
         - Its importance to the American people has continued
         to grow, and its success has inspired a number of other
         social welfare programs.

    - Indian Reorganization Act: (1934)
         - The IRA; Wheeler Howard Act – was passed to repeal
         the Dawes Severalty Act.
              - This act returned Indian Land to control of the tribe
              and supported the preservation of Native American

Critics of the New Deal:
     - A large number of Americans benefited from the relief, yet the
     New Deal had its failures, and inspired its share of critics.

    Limits of the New Deal:
        - Programs were generally less helpful to women and
        African American groups than they were to white men.
              - The NRA permitted lower wages for women’s work,
              and jobs went to the male “heads of the families.

         - No person of color received a job at a professional level.
         They received lower wages than whites and were kept from
         skilled jobs on dams and electric power plants.
               - Because the Social Security Act excluded both
               farmers and domestic workers, it failed to cover nearly
               2/3 of the working African Americans.

                   - However, FDR appointed more than 100
                   African Americans to policy making posts.

Criticism from the right:
     - The political right, typically made up of those who want
     to preserve a current system or power structure, opposed
          - They viewed many of the programs as socialistic
          and big government.
               - Others saw the assignment of social security
               numbers as the first step toward a militaristic
               regimented society.

Criticism from the left:
     - The political left generally seeks governmental change as
     a means of helping the common people. These critics
     accused the New Deal of not going far enough in
     addressing the nation’s ills.

Other Critics:
    - Some other critics were demagogues.
        - Demagogues are charismatic leaders who
        manipulate people with half truths, deceptive
        promises, and scare tactics.

    - Father Charles E. Coughlin, an early supporter of the
    New Deal used the radio to speak to 10 million Americans
    as he attacked the New Deal with anti-semitic rhetoric
    blaming the Jews for conspiring with the government.

    - Huey P. Long: He was also known as the Kingfish. He
    was governor and senator of Louisiana. He helped many of
    the underprivileged, but he also built a powerful political

              - He went against the New Deal and began his own
              program called Share Our Wealth and used the motto,
              Every Man a King. He wanted to take from the rich
              and give to the poor.
                   - So, he proposed high taxes on large fortunes
                   and inheritances and grants of 5000 dollars to
                   each American family.
                        - The system had supposedly worked in
                        Louisiana, but in reality Long was financing
                        his projects by imposing high taxes on
                        everyone including poor people and often
                        profited personally.
                             - In September 1935, Long was

              - Long, once talked about as president, really was
              never a threat to FDR’s position, but he did prove that
              if FDR failed to spread the country’s wealth more
              widely, he risked losing popular support.

- In the 1936 presidential election, FDR ran away with the victory.
He carried every state but two.
               - electoral vote – 523 to 8

FDR and the Supreme Court:
   - When the new programs failed to significantly improve the
   economy, criticism began to mount.
       - Many people worried about the increasing power that
       New Deal agencies were giving to the federal government.
            - In 1935, the Supreme Court declared the NRA
            unconstitutional because it gave the president law
            making powers and regulated local rather than
            interstate commerce.
                  - The next year they ruled the tax that funded the
                  AAA was also unconstitutional.
                       - The most important programs had
                       crumbled and it was time to reassess.

    - In 1937, FDR proposed electing a new judge for every current
    Supreme Court judge over 70. He was basically trying to gain
    support on the Supreme Court so that all of his new deal
    programs could stay. This was known as packing the Supreme
         - Of the 9 members, 6 were over 70 and in good health.
             - Roosevelt asked congress to pass legislation
             enabling him to appoint a new member of the court for
             every one over 70
                   - This would increase the number of justices on
                   the court to 15.

         - The court packing incident used up a lot of the “stored”
         good will between himself and the American people.

         - Many saw FDR as a rising dictator. He did not win the
         argument, ye the court did become friendlier to the New

Recession of 1937:
    - By 1937 the economy was pulling out of its nose dive; banks
    were stable, unemployment was at 15%, still bad but far from
    the low of 25% during the lame duck session of 1933.
         - However, in late 1937 the economy took another
         downward dive.

    Causes of the Recession:
    - 1) the new social security tax reduced government spending
    - 2) Roosevelt began to cut back expenditures for relief
      programs because he had hoped to balance the budget and
      reduce the national debt.

         - Roosevelt took a Hooverian attitude toward the 1937
         recession because he felt as if his hands were tied.
              - The writings of British Economist John Maynard
              Keynes convinced Roosevelt of what course of action
              to take.
                    - The Keynesian economic theory advocated
                    deficit spending to increase investment and jobs.
                         - Roosevelt adopted the theory and as
                         federal spending went up, so did
                         employment, industrial production, and the

Cultural Life in the 30s:
    - Congress allocated federal funds to support the popular and
    fine arts. The arts not only thrived but created some enduring
    cultural legacies for the nation.

         - John Steinbeck wrote the Grapes of wrath about Dust
         Bowl victims. Also famous movie.
         - Margaret Mitchell wrote Gone With the Wind which was
         a recreation of the old south. Very famous movie.

    Radio and Movies:
        - Radio became the major medium of entertainment for
        most American families. This made it possible for FDR’s
        many fireside chats.
             - These were his weekly radio addresses made to
             Americans. Often they were of no real significance
             other than for the American public to be comforted by
             his voice and leadership.

         - Federal Agencies used motion pictures to publicize their

         - Some Hollywood studios concentrated on optimistic
         films about common people who triumphed over evil.

         - Soap operas developed during this time. Walt Disney
         and Mickey Mouse cartoons delighted movie goers, as did
         Snow White and the Seven Dwarfs and the Wizard of Oz.

         - Two major radio events were the Hindenburg disaster
         and the War of the Worlds by Orson Welles.

WPA and the Arts:
   - FDR set aside WPA funds to support unemployed artists,
   musicians, historians, theater people, and writers
       - Historians surveyed the nation’s local government
       records, wrote state guidebooks, and collected life stories
       from about 2000 former slaves.
            - Drama was used to create awareness of social

                      Legacies of the New Deal

- The New Deal did not permanently end the suffering of the nation,
but it did lead to some profound and lasting changes in American
politics and social life.
      - FDR and the New Deal increased the public’s expectations of
      the presidency. Voters began to expect a president to formulate
      programs and solve problems.
           - The government was now authorized to intervene in
           major ways, and businesses could no longer resist
           regulation or unionization with claims about the sanctity of
           private property.

- The New Deal did not put and end to the Great Depression.

Lasting New Deal Monuments:
    -The great public works of the Depression era – the bridges
    (Golden Gate), dams, tunnels, public buildings, sewage systems,
    port facilities, and hospitals – remind us of this period of
    government support for the national welfare.

    - In national and state parks and on mountain trails, and
    oceanfront walks Americans still reap advantages from the
    restoration and conservation works of the Civilian conservation

    - The Tennessee Valley Authority remains a model of
    government planning and still is very active today.
        - The FDIC still guarantees bank deposits.
             - The SEC continues to monitor the workings of the
             stock market.
                  - And almost everyone in the U.S. has come to
                  depend on the social security system.

    - Due to the Depression Americans began to look to the federal
    government for help.

    - The ultimate recovery from the depression was set in motion
    on the battlefields in Europe. When the recovery finally reached
    the United States it came in the form of yet another tremendous
    test of character. In fact it was the biggest test in American
    History………WORLD WAR II.