THE NEW DEAL AND ITS LEGACY – MODERN

AMERICAN POLITICSClasswork Assessment on the New Deal Programs Homework Assessment on the Legacy of the New Deal

SOCIAL SECURITY ADMINISTRATION

The Social Security program provides pensions for the elderly, aid to dependent children, relief for the unemployed, and help for the blind and disabled in society. It is one of the most popular – and expensive programs the New Deal created, and almost every American relies on Social Security during their retirement.

THE FEDERAL DEPOSIT INSURANCE CORPORATIONThe FDIC insures your bank deposit account up to $250,000 today. When the program first started, it insured bank deposits up to $5,000. FDR conceived the idea in order to restore confidence in the banks. After the stock market collapse of 1929 and the thousands of bank failures which followed, many Americans had decided that keeping their money under their mattresses was a better, safer, plan.

FEDERAL EMERGENCY RELIEF ADMINISTRATION

This program was a direct handout from the federal government to the states. States were better able to target areas of need in their specific localities, giving money to churches, soup kitchens, food banks, and other charitable organizations which could best address the needs of the poor and unemployed.

THE WAGNER ACT – THE NATIONAL LABOR RELATIONS BOARD

Unions were empowered with the right to collective bargaining with certain employers, and the National Labor Relations Board was set up in order to resolve longstanding disputes over wages, working hours, safety conditions, and the rights of workers. Although strong support for unions never really emerged during the Great Depression and gains were hard to come by, the favorable conditions for unions under Franklin Delano Roosevelt did produce some results: John L. Lewis, the leader of the American Mine Workers, created an umbrella organization of unskilled laborers known as The Congress of Industrial Organizations.

THE PUBLIC WORKS ADMINISTRATION

This program focused on creating massive work projects like the Boulder Dam, bridges, highways, schools, or ports. It hired millions or workers – some skilled and some unskilled – in order to complete massive projects. In addition to employing millions and accomplishing huge tasks, the program was expensive. Most of the dams, bridges, and buildings were built using public money! 

NATIONAL YOUTH ADMINISTRATIONMary McLeod Bethune was the leader of this organization, which gave job training and education to over 600,000 youths, especially African-Americans. The program was essentially an apprenticeship organization, which gave students marketable job skills in the hopes that the economy would recover in time for them to get to work using them.

THE NATIONAL RECOVERY ADMINISTRATION

The National Recovery was the centerpiece of FDR’s New Deal; however, it placed important restrictions on businesses ability to make choice about wages, hiring and firing of employees, and the cost of goods. Because it went against traditional American beliefs in free market capitalism and laissez-faire economic principles, the NRA was ruled unconstitutional by the Supreme Court. When the NRA and several other New Deal programs were ruled unconstitutional, FDR responded aggressively. He attempted to reshape the Supreme Court by appointing six new justices to the court, which would have supported his programs and ideas. Most Americans, however, were outraged that he would attempt to disrupt the system of checks and balances which were in place.

THE AGRICULTURAL ADJUSTMENT ACT

This government program actually paid farmers money NOT TO GROW CROPS! By regulating farm production and encouraging soil conservation, it controlled the prices of crops and helped most Americans. Because there were actually children starving to death, suffering from malnutrition, or underfed throughout the Depression, this program – which was economically sensible, caused much wrath on the part of the poor.  

THE RURAL ELECTRIFICATION ADMINISTRATION

The REA was around for a surprisingly long time. The program was sustained until the 1980s, wiring up hard to reach rural areas and electrifying the entire nation. Not only did the REA improve the quality of life for most Americans, but also, it ended up creating new markets for goods – for, every electrified household could now purchases consumer goods!

THE WORKS PROGRESS ADMINISTRATION

The WPA was able to provide jobs for skilled workers like teachers, artists, musicians, writers, photographers, or actors. Additionally, it was able to employ men and women for massive public works projects. By the end of the Great Depression, millions of unemployed Americans had received jobs, and the literature and photographs produced by WPA workers are still treasured today.

THE CIVILIAN CONSERVATION CORPS

This program hired millions of young men between the ages of 18 – 25 in order to work in the national parks on programs as diverse as grading trails, building small dams and bridges, and planting trees to restore overharvested areas of the park. In general, the men were paid low wages, but since they had no expenses – the government provide food and shelter – they could send most of the money home!

THE TENNESSEE VALLEY AUTHORITY

The Tennessee Valley Authority is one of the few large scale programs created during the New Deal Era which still exists today. Not only was the program worthwhile because it was a producer of electricity which improved the quality of life in the portion or Appalachia which was impacted by the flooding of the Tennessee River, it was also a moneymaker. Today, the TVA continues to produce electricity.