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HISTORY 12 UNIT 2 PROMISE AND COLLAPSE 1919-1933 NOTES Ben Lepore October 4, 2016 Version 6

UNIT 2 PROMISE AND COLLAPSE€¦ · • Stalin’s idea of “Socialism in one country” was very appealing to many members of the party Stalin’s political ruthlessness (schemer

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Page 1: UNIT 2 PROMISE AND COLLAPSE€¦ · • Stalin’s idea of “Socialism in one country” was very appealing to many members of the party Stalin’s political ruthlessness (schemer

HISTORY 12

UNIT 2 PROMISE AND COLLAPSE 1919-1933

NOTES

Ben Lepore

October 4, 2016 Version 6

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Stalin and the U.S.S.R.

Stalin’s Rise to Power

The Power Struggle

• a power struggle occurred within the Communist Party after Lenin’s death in 1924

and three groups or ideological positions emerged: left, right, center

Left ▪ they believed that socialism depended on worldwide revolution; they believed

that Russia must be industrialized more rapidly than the NEP would allow and

wanted to abandon it; they believed that capitalist nations would try to destroy

Russia so their survival depended on the international revolutionary movement

bringing communists to power in industrialized nations in the West > group

included Trotsky, Grigori Zinoviev, L.B. Kamenev Right

▪ they supported the need for world revolution but did not feel the same sense of

urgency as the left; they wanted to continue with the NEP which they saw as a

stop-gap measure to save socialism; they thought any attempt to force the

peasants to give up their surplus crops would lead to rebellion in the countryside and starvation in the cities > group included Nikolai Bukharin and

A.I. Rykov Center

▪ they believed that whether or not there was a world revolution socialism could

be built in one country; Joseph Stalin saw the practicality of this approach and

called for the Soviet Union to develop socialism within its borders, “socialism in one country”, and take a leading role in the spread of communist ideology

• 1923-1927 Stalin supported the right or moderates because he needed their

support to defeat his rivals in the left especially Trotsky who was his most serious

challenger for the leadership

• Stalin was the General Secretary of the Party, a member of the Politburo, the Party’s

policy making body, and member of the Orgburo which ran the Party organization

while Trotsky had been Lenin’s chief assistant, Commissar of War and Minister of

Foreign Affairs

• as General Secretary Stalin was able to appoint his supporters as full time Party officials which mean he could call upon his supporters to vote against Trotsky’s

initiatives; in the Politburo and meetings of the Party Central Committee Stalin’s

supporters would make sure Trotsky’s proposals were always rejected

• as Stalin’s control of the Party increased Trotsky’s power and prestige decreased;

1925 Trotsky was forced to give up his position as Commissar, 1927 Trotsky, along

with Kamenev and Zinoviev, was removed from the Politburo and expelled from the

Party, 1928 Trotsky was forced into exile, 1940 Trotsky was assassinated in Mexico

• by the end of 1927 Stalin had won the power struggle and embarked on his program of socialism in one country

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Stalin and the U.S.S.R.

Factors that contributed to Stalin’s Rise to Power

General Secretary of the Communist Party

• Stalin used it to appoint his supporters to important positions in the party

Lenin’s last will and testament

• Lenin advised the Central Committee/Politburo to replace Stalin General Secretary

because he abuses his power but the committee did not act on it

Stalin’s personality/ background and image

• Stalin’s poor background and image as man of the people made him popular with

many members of the party

• Trotsky was an intellectual and arrogant which did not enamor him with many

members of the party; he was new to the Party and resented by veteran Bolsheviks

Stalin’s alliances

• Stalin formed alliances with members of the Central Committee against other members and then abandoned the alliance when it no longer was needed

• 1924-26 he allied with Zinoviev and Kamenev against Trotsky

• 1926-1928 he allied with Bukharin, Rykov, Tomsky against Zinoviev and Kamenev

• 1928-1929 he opposed the NEP and Bukharin, Rykov, Tomsky and severed his alliance with them when they were no longer needed or useful

Trotsky’s “World Revolution” vs. Stalin’s “Socialism in one country”

• Trotsky’s idea of “world revolution” was not popular as most members of the party

were tired of revolution and feared it would ruin Russia

• Stalin’s idea of “Socialism in one country” was very appealing to many members of

the party

Stalin’s political ruthlessness (schemer and tactician)

• Stalin was a master schemer and tactician

• he played one side of the Central Committee against the other

• 1924-26 he allied with Zinoviev and Kamenev against Trotsky

• 1926-1928 he allied with Bukharin, Rykov, Tomsky against Zinoviev and Kamenev

• 1928-1929 he opposed the NEP and Bukharin, Rykov, Tomsky and severed his

alliance with them when they were no longer needed or useful

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Stalin and the U.S.S.R.

The Modernization of Russia

Economic Planning

• Stalin believed it was necessary for Russia to rapidly industrialize to catch up to other industrialized nations and become stronger to resist being crushed by them (refer to 1931 Stalin speech TCH p.133)

• Stalin would accomplish this goal through a series of five-year plans that implemented a command economy, collectivization of agriculture and accelerated industrialization that emphasized heavy industry

• 1928-1938 Stalin forced the people of the Soviet Union through the most rapid changes in their ways of life than any people in history

Collectivization of Agriculture

• the peasants would be forced to join their land together into collectives (kolkhoz) to make farms large enough to use modern machinery and advanced agricultural techniques; the collectives were under the control of a collective farm committee that was controlled by the Party

• production of crops would increase to feed the workers in the cities and also release large number of farm workers for labour to work in industry

• the peasants’ crops would be used to feed the cities and sold to other countries to pay for the heavy industry

• 1929-1933 peasants’ resistance to collectivization took the form of wholesale slaughter of livestock

• the kulaks, rich peasants, were deemed unfit for collective farms because they were independent and unlikely to contribute to socialist production

• Stalin wanted to destroy the kulaks (refer to December 1929 speech TCH p.131)

• the kulaks were forced into concentration camps, deported to Siberia or Central Asia or allowed to stay but given the poorest land to farm; approximately 5 million kulaks "disappeared"

• the treatment of the kulaks frightened other peasants into submission

• February 1930 half of the peasant population was collectivized (60 million); July 1931 53% collectivized, July 1932 62% collectivized

• the chaos caused by collectivization, smaller harvests and excessive procurements (obtaining crops) led to famine; droughts during 1931-1932 compounded the agricultural problems and famine swept the Ukraine

• by 1938 food was more plentiful but the peasants rarely met production quotas

• 24 million people left the countryside half of them went to cities while the other half remained unaccounted for

Industrialization

• Gosplan structured the Five Year Plans that began in 1928 because the NEP was

unable to promote the rapid industrialization essential to move the Soviet Union

into the ranks of modern industrial nations

• 1926 over 75% of the population was employed in agriculture so collectivization not

only gave Stalin control of food production but also the ability to direct workers to industry; by 1940 51% of the population was employed by agriculture

• the First Five Year Plan 1928-1932 was a blueprint for a command economy which

established production targets; in a command economy the government controls the

production, distribution and consumption of goods

• Stalin wanted to force the development of heavy industry to allow the Soviet Union

to build the infrastructure that would be the weapons they needed to defend

themselves

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• the goals of the first Five Year Plan were staggering as total industrial output was to

increase by 250%; heavy industrial production was to increase by 333%, pig iron by

300%, coal by 200%, electrical power by 400% and agricultural production by 150% (refer to targets TCH p.130)

• although the only industry to reach its target was oil (refer to production figures

TCH p.132) the plan did improve production; the output of electricity had more than

doubled, while the output of oil, coal and pig-iron almost doubled

• by the end of 1929 food rationing was introduced and rationing was also applied to

consumer goods; conditions were awful in the cities with overcrowding in spartan

apartment buildings

• failure of the plan to reach its targets were blamed on subversives or saboteurs

• the Cheka and OGPU would root out and destroy opposition and terrorize people

into silence and obedience; the OGPU would execute people sentenced to death or

would imprison those sentenced to exile or forced labour camps called the gulag

• many projects were dependent on slave labour and an estimated 10 million political prisoners were held in concentration camps

• the second Five Year Plan 1933-1937 introduced ambitious production targets but it

had to be modified as a result of opposition amongst party officials against the

harshness of the first plan

• targets were modified at the 17th Congress of the Communist Party in 1934

• the Soviet Union's industrial output surpassed France, Japan, and Italy

• however agriculture was plagued with problems and the government was less able

to feed its people than before WW I; industrial systems were primitive and the

system of planning imposed by the government made innovation and adjustments

difficult

• 1937 Soviet Union redirected its resources toward armament production in response to the Nazi build up of power and even though a tremendous number of

military goods were produced the quality of these goods lagged far behind that of

other industrialized nations especially Germany and Japan

Stalin’s Economic Policy: Collectivization and Industrialization

Collectivization

• individual plots of farm land joined together into collectives (called kolkhoz)

• use modern machines to increase production

• increase grain production will feed workers in the cities

• less peasants required to farm thus peasantry to provide the labour for industry

• surplus grain to be sold to other countries to earn money to purchase machinery and technology for the development of heavy industry

• Kulaks opposed collectivization and were targeted by Stalin to be eliminated as a

class

Industrialization

• Five Year Plans to focus on the development of heavy industry

• production targets or quotas established in electricity, coal, oil, pig-iron, steel

• build infrastructure to defend themselves against attack from the West

• “socialism in one country”

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Stalin and the U.S.S.R.

Stalin’s Economic Policy

Success Failure

Collectivization

• a quarter of a million kolkhoz were

established as 99% of Russia had been

collectivized by 1939

• agriculture was more modern with the

introduction of new methods, tractors,

fertilizers, large-scale production

• 97 million tons were produced by 1937 plus cash crops for export

• 17 million peasants left the

countryside to work in the cities

between 1928-1937

• the noble landlords were gone

• the Communist Party controlled

agricultural production

Industrialization

• the USSR was transformed into a

modern state

• there were significant achievements:

new cities were built

dams were built and provided hydroelectric power

improvement in transportation

and communications

the Moscow subway system was

built

production increased in oil, steel

coal, electricity

• there was no unemployment

• heath care was available with access to doctors and medicine

• education was provided with emphasis

on literacy and science

Collectivization

• production of grain and livestock

declined between1928-1937

• the Ukraine famine killed

approximately 5 million people 1932-

1933

• the Kulaks were eliminated and

approximately 4 million liquidated

Industrialization

• it was poorly organized as there was

inefficiency and duplication of effort and waste

• workers were subjected to extreme

discipline

• OGPU/NKVD (secret police) terrorized

the population and created fear

• labour camps were established and

operated by the OGPU/NKVD

• major building projects (canal) used

slave labour

• consumer goods were scarce and poor

quality

• housing was poor and limited in the cities

• workers had no rights

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Stalin and the U.S.S.R.

The Purges

• the purges were designed to eliminate his real, potential and suspected opposition

and thus secure his power as leader of the Soviet Union

• there were two major periods of purging under Stalin

▪ 1929-1933 the purges focused on rank and file opponents such as the Kulaks

▪ 1934-1938 the purges focused on old Bolsheviks still powerful within the Communist party, intelligentsia (writers, artists, etc.), and the Red Army

• December 1, 1934 the chief of the Leningrad Communist Party Sergei Kirov was

murdered most likely on Stalin’s orders; Kirov criticized the brutality of Stalin’s

Five-Year Plan and was a popular member of the party

• Kirov’s murder gave Stalin an excuse to eliminate the remaining old Bolsheviks in

the party and other opponents and started the Great Purges

• Kamenev and Zinoviev were arrested for Kirov’s murder and placed on public

display in show trials where they confessed to plotting with Trotsky to overthrow

Stalin and were executed in 1936

• Kamenev and Zinoviev confessed to save the lives of their families or they were tortured

• other old Bolsheviks were also placed in show trials such as Bukharin and Rykov

and were executed in 1938; Trotsky was murdered in Mexico in 1940

• Stalin was the only member of the Bolshevik government to survive as 10 had been

executed or imprisoned and 4 had died

• June 11, 1937 Marshal Tukhachevsky and seven other senior generals were

arrested for treason and subsequently executed which started Stalin’s purge of the

Red Army

• 1937-1939 35,000 army officers were executed including 90% of the army’s

generals, 80% of its colonel’s , 3 of 5 marshals, 13 0f 15 army commanders, 57 of 885 corps commanders, 167 of 280 division commanders, 11 vice-commissars for

war and 75 0f 80 members of the Supreme Military Soviet

• the air force and navy were equally purged

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Mussolini and Fascism in Italy

Fascism

Fascism

• fascism was an extreme right-wing, militaristic European-wide phenomenon that

developed from the social, political, and economic problems caused by WW I

• fascist movement developed in Italy, France, England, Belgian, Romania, Spain and

Austria

• during times of social dislocation, political instability and economic difficulties,

people look to a demagogue (stirs up people by appealing to their emotions and

prejudices) to restore order and bring back stability to government

• fascism does not have an ideological doctrine that defines it like Karl Marx's

Communist Manifesto on communism or the many philosophers such as John

Locke's Two Treatises of Government on democracy

• fascism was mostly defined by the actions rather than thoughts of its proponents

Characteristics of Fascism

• totalitarian

• militaristic

• nationalistic

• dictatorship supported by the armed forces and police

• racial superiority

• war and conquest

• state/government more important than individual

• use of violence against it opponents or enemies of the state

• single-party state

• capitalist economy

• use of propaganda, posters, slogans, uniforms, rallies, parades to play on the pride,

loyalties, fears and hatred of their followers

• the leader is exalted, praised and presented as a hero and father figure > personality

cult

• anti-labour, anti-communist, anti-liberal, anti-democratic

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Communism and Fascism: Compare and Contrast

Differences

• communism claimed to be creating a society of equals whereas fascism declared that some individuals and races were superior

• communists believed that the state should control all business whereas fascists allowed private business to make big profits as long as they supplied the state’s needs

Similarities

• fascism and communism are both totalitarian systems in which the state is supreme over everyone and everything

• communism and fascism appealed to people impatient with democracy

• communism and fascism were revolutionary movements aiming to break with the past and create a new society

• communist and fascist leaders made constant use of propaganda, posters, slogans, uniforms, rallies, parades, and festivals to play on the pride, loyalties, fears and hatreds of their followers

• communist and fascist states built personality cults where the leader was presented to the people as a genius, deep thinker, man of bold action, a brilliant commander of armies, loving father to the nation, the perfect model of strength, wisdom, courage, and compassion

• communism and fascism ignored the rule of law in favor of the leader’s orders; the law is just another tool to control people; the police arrested political opponents and the secret police tortured and murdered people

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Mussolini and Fascism in Italy

Mussolini’s Rise to Power

Italy after the First World War

• Italy was a new nation (unification completed by 1870), an elected parliament was a

recent development as universal suffrage (right to vote for adult males) was provided

in 1912 and thus its democracy was immature

• some of the territory that Britain and France promised to Italy for entering the war

in 1915 was not provided at the Paris Peace Conference and many Italian

nationalist felt betrayed by the Allies (refer to TCH p.51 or MHMW p.39); Italians

referred to these regions in the north as Italia Irredenta (regions with ethnic Italian populations living outside of Italy)

• following WW I Italy was experiencing social and economic problems

• in the industrial northern cities workers organized to improve conditions and went

on strikes to increase wages eaten away by the inflation of the war years

• in the agricultural south tenant farmers refused to pay their rents and attacked the

landowners demanding land reform

• on the edge of economic collapse and social revolution successive Italian

governments had been unable to stabilize the volatile situation

• a socialist revolution seemed imminent and landowners and industrialist were

concerned about the possible loss of property and power

The Rise of the Fascists

• March 1919 Mussolini established a new political party called the Fascisti with the

purpose of stopping the forces tearing Italy apart

• as did many other leaders Mussolini recruited unemployed war veterans in a quest

for political power and established the fasci di combattimento (combat units) that

included the unemployed war veterans as well as middle class youths and anti-

communists who were referred to as the Blackshirts because of their uniform

• he promised to stabilize the economy, end unemployment, and restore Italy's national prestige lost at the Paris Peace Conference

• according to the Fascists democracy was responsible for Italy's problems because

the government was ruled by the ignorant masses and they would put an end to

disorder with the power of a totalitarian state (refer to Mussolini’s quote TCH p.52)

• the political doctrine of the fascists evolved from taking action; once in power the

political doctrine would develop but first the fascist would get rid of any opposition

and secure power

• fascism presented itself as the solution to the liberal and democratic ideas that

caused so many problems in Italy

• April 1919 the fasci di combattimento fought in street brawls with strikers and

communists and as a result industrialists financed Mussolini's movement to restore order and get workers back to work

• Mussolini's rise to power was fast and violent:

▪ 1920 there were 88 Fascist groups with 20,615 members but a year later

there were 834 Fascist and over 250, 000 members

▪ in the first few months of 1921 Fascist attacks on their opponents

resulted in 207 deaths and 800 injuries ▪ the police and army did not interfere as they tended to share the same

opponents as the Fascists

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▪ the Liberals in government did not stop the Fascist partly because they were

more concerned about a possible communist revolution than the violent activities of the Blackshirts and they thought that they could control Mussolini if

he agreed to join in a coalition government

▪ May 1921 elections Fascists won only 35 seats from the 535 seats in the

Chamber of Deputies

▪ as chaos continued in Italian society in late October Mussolini threatened to

march on Rome with 26,000 armed Fascists if the government did not immediately restore order and if not his men would seize the government

▪ the government asked King Emanuel III to sign a decree declaring an emergency

but he refused fearing a civil war

▪ October 29, 1922 the king appointed Mussolini Prime Minister and asked him to

form a government; he was given emergency power for a year to restore order to the nation

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Mussolini and Fascism in Italy

Factors that contributed to Mussolini’s Rise to Power

World War I and Paris Peace Conference

• some of the territory Italy was promised by Britain and France to join the

Triple Entente during the war was not awarded during the Paris Peace

Conference (Austrian-Hungarian territory along the Adriatic coast, refer to

map p.51 TCH)

• Italian nationalist felt betrayed by the Allies and blamed the Italian

government for failing to obtain the territory they were promised

Attitude towards Democracy

• democracy was weak and lacked a democratic tradition like England or France

• Italy was a new nation established in 1870, an elected parliament was a recent

development thus Italy’s democracy was immature

Economic Problems

• World War I adversely effected the economy causing inflation and after the war

many soldiers/veterans were unable to find employment

• several governments were unable to deal effectively with the economic problems Italy experienced after World War I

Fear of Communism

• Italy was on the verge of a revolution or civil war

• industrialist, landowners, liberals in the parliament were concerned about a

communist revolution

Support of the Industrialist and Landowners

• landowners and industrialist feared a communist revolution and concerned about

the loss of property, factories and power

• industrialist financed Mussolini and the Fascist to restore order

Fasci di Combattimento/Blackshirts

• Mussolini established a private army composed mostly of ex-soldiers and veterans who intimidated, threatened and attacked (and in some cases killed) political

opponents especially the communists

• the Blackshirts fought with striking workers and communist to break up strikes

and as a result gained the support of the industrialist

Fascist Program

• the Fascists were staunch nationalists which appealed to many people especially those who resented the territory that was promised to Italy for entering

the war but not awarded at the Paris Peace Conference

• the Fascists represented discipline, order, strength and stability which many longed

for in Italy which appeared to be on the verge of anarchy or civil war

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Mussolini

• Mussolini was charming and an effective speaker

• Mussolini came across as a strong and capable leader who could bring order and

stability to Italy

March on Rome October 27-29 1922

• October 24, 1922 Mussolini threatened to march on Rome with 30,000 Blackshirts

and overthrow the government if the government did not immediately restore order

• as a result October 29 the King appointed Mussolini Prime Minister and asked him to form a coalition government

King Emanuel III

• the king refused a request by the government for a decree declaring a state

of emergency to deal with the Fascists threat (March on Rome) because he

feared a civil war and thought Mussolini could restore order

• the king appointed Mussolini Prime Minister of a coalition government believing Mussolini could be controlled in a coalition government

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Mussolini and Fascism in Italy

Mussolini’s Consolidation of Power and Dictatorship

Mussolini

• Mussolini was not yet in complete control as he was the leader of a coalition

government made up of Fascists and representatives from other parties

• Mussolini makes several steps to consolidate power in his own hands and establish a dictatorship

Consolidation of Power 1923-1925

• Acerbo Law June 1923

▪ Mussolini introduced an electoral law that gives the party that receives 25% of

the votes two thirds of the seats in parliament called the Chamber of Deputies

• General Elections April 1924

▪ the Fascists received 64% of the vote and gained control of the Chamber of

Deputies

• Matteotti Murder June 1924

▪ Socialist leader Giacomo Matteotti was kidnapped and murdered by the Blackshirts for his criticism of Fascists behavior during the election

▪ opposition parties withdrew from and boycotted the Chamber of Deputies and

demanded Mussolini’s dismissal

▪ the king refused to dismiss Mussolini fearing violence and civil war

▪ Mussolini uses this to assert his authority and establishes a dictatorship

• Speech to Parliament January 3, 1925 ▪ Mussolini delivered a speech to the Chamber of Deputies accepting

responsibility for the violence committed by the Blackshirts

▪ Mussolini promised to restore order and stated that he will no longer work with

the other parties but instead establish a dictatorship

▪ the Matteotti crisis was the turning point between a parliamentary state ruled by

a Fascist party to a Fascist dictatorship

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Dictatorship 1926-1939

• End of Civil Liberties/Rights and Freedoms ▪ Mussolini abolished freedom of the press, speech, assembly, etc.

• Political Opposition Parties Banned

▪ Mussolini appointed an all-Fascist government and eliminated opposition

parties making Italy a single party state

• Grand Council of Fascism

▪ Mussolini appointed only Fascists to the Chamber of Deputies

• Trade Union Abolished

▪ Mussolini banned trade unions and made strikes illegal

• OVRA

▪ Mussolini established the OVRA the state secret police to spy upon, terrorize

and destroy suspected opponents of the Fascists who were arrested, imprisoned,

tortured, and/or killed

• Lateran Accords 1929

▪ Mussolini signed the Lateran Accords with the Catholic Church in order to gain

support from the Vatican

▪ the Lateran Accord made the Vatican an independent state, gave the Church

control over religious education in schools, and recognized Catholicism as the

nation's official religion

• Education and Youth Organizations

▪ Mussolini took control of the curriculum in schools to indoctrinate the students

with Fascist ideas

▪ youth organizations established such as Balilla/Avanguardisti (boys) and

Piccole Italiane/Giovani Italiane (girls) to instill Fascist ideas

• National Leisure System /National Agency for Maternity

▪ the National Leisure System promoted recreation while the National Agency for

Maternity encouraged couples to have children

• Propaganda

▪ the Fascists subjected Italians to continuous propaganda which developed

Mussolini’s cult of personality

• Economy/Autarky

▪ Mussolini wanted Italy to be economically self-sufficient and less dependent on

foreign imports which makes Italy vulnerable and weak

▪ Mussolini introduced agricultural policies such as the Battle for Wheat

• Economy/Corporate System

▪ Mussolini organized industries into a series of corporations

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Hitler and Nazi Germany

Weimar Republic 1919-1933

Germany after World War I: The Weimar Republic

• prior to the armistice a series of strikes, revolts and mutinies swept the country and

the kings and princes who ruled the German provinces were replaced by republican governments controlled by socialists

• November 8 socialist politicians in Berlin forced Kaiser Wilhelm II to abdicate,

declared a republic and established a provisional government led by Frederich Ebert

> November 11 1918 the government signed the armistice to end the war

• an election was held to create an assembly whose task was to create a constitution

for the republic

• political instability and labour unrest continued

Weimar Constitution

• a federal republic with national and state governments was established >

Reichstag was the legislature that represented the federal government and Reichsrat represented the states

• members of the Reichstag were elected to four year terms via proportional

representation which made it difficult for one party to achieve a majority

• the executive included the president who was independently elected to seven year

terms and the chancellor who was the leader of the largest party in the Reichstag

and his cabinet

• the president had the authority to appoint and dismiss the chancellor and cabinet

ministers without approval from the Reichstag, the power to dissolve the Reichstag

and call new elections, and emergency powers to rule by decree if the Reichstag failed to reach agreement

Weimar Republic

• Ebert appointed Philipp Scheidemann as the first chancellor and their immediate

tasks were to come to terms with the Treaty of Versailles, restore order, and arrange

for reparation payments

• 1919-1924 were years of political instability for the republic as communists and

right-wing groups tried to overthrow the government in a series of coups

▪ January 1919 the Spartacist wanted a communist-style revolution like Russia and staged a putsch (rebellion or armed uprising) in Berlin that was defeated by

the Frei Korps (war veterans) who were ant-communist

▪ March 1920 the Frei Korps staged a putsch in Berlin but ultimately failed

because of a general strike that paralyzed the city

• the republic had difficulty dealing with reparation payments because Germany was

not welcomed on the world markets and therefore arranged short-term loans from the U.S. which essentially tied Germany’s economic recovery to short-term American

loans making Germany vulnerable to the slightest fluctuation in the American

economy

• the influx of large amounts of American money caused hyper-inflation in 1923 and

destroyed the savings of pensioners, caused suffering for fixed income earners,

lowered the salaries of wage-earners, and eroded the wealth of the middle class

• 1922 Germany defaulted on its reparation payments and the French occupied the

Ruhr in January 1923

• the government expressed a desire to meet the payments which provoked protests and demonstrations, street fighting resumed among rival political groups, and

general civil unrest prevailed

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• the French occupation and economic conditions prompted Adolf Hitler and the Nazi

party along with General Ludendorff to stage a putsch in Munich (aka Beer Hall

Putsch) but it was not successful and Hitler was sent to jail

• in middle of political and economic instability the U.S. intervened and persuaded

the French to evacuate in return for a German promise to resume reparation payments > 1924 Dawes Plan provided over $30 billion in economic aid to Germany

to assist in reconstruction and in return the Germans were to resume reparation

payments on a modified ability-to-pay scale > the Dawes Plan ushered in a five year

period of relative stability and economic growth

Weaknesses of the Weimar Republic

• Germany did not have a democratic tradition like England, France or the U.S. > some question Germany’s motives for becoming democratic was simply to receive

better peace terms from the Americans after the war

• the slowness and inefficiency of a democracy frustrated Germans who were used to

the ability of authoritarian governments to appear efficient

• the republic was associated with the Treaty of Versailles which Germans bitterly

resented

▪ military leaders promoted the myth that certain politicians betrayed the army

and the state by agreeing to surrender when the army was on the point of victory

▪ Hitler would use this “stab in the back” theory to condemn the treaty

• the republic was blamed for the inflation and devalue of the mark in 1923 that

financially ruined many people > this was especially so with the middle class who

were the most significant source of electoral support for the Nazis

• the system of proportional representation prevented a party from gaining a decisive

majority and as a result coalition governments (several parties together) were

necessary but were ineffective and often failed to maintain a majority > this reinforced the idea that democracy was weak and inefficient

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Hitler and Nazi Germany

Hitler’s Rise to Power 1928-1933

The Great Depression

• as a result of the war the world’s economic structure became tied to the U.S.

• England and France borrowed heavily from the American government during the

war and at the end of the war the financial strength of the world shifted from Europe to the U.S. who became the financial center of the world

• England, France were in debt to U.S., the German economy shattered, Russia in the

middle of a civil war the U.S. was the only solvent nation among the great powers

• it was American loans that financed the reconstruction and tied the world’s

economies to the U.S.

• October 1929 the New York stock market collapsed causing the collapse of the

economies of other nations

• as unemployment soared disorder emerged to challenge the existing political

structure as people turned against governments for allowing the economic collapse

to occur > anti-parliamentary, anti-democratic mood prevailed

• the public wanted governments to take charge and end the disorders and wanted strong leadership to end the uncertainty of the times

• weary of the chaos and uncertainty people turned to political leaders who promised

a return to order and stability

Hitler’s Rise to Power

• the civil disorders caused by the depression brought Hitler to power

• Hitler joined the German Workers' Party and became leader and renamed it the

National Socialist German Workers' Party or Nationalsozialistiche Deutsche Arbeiterparie (Nazis) in 1920 > it was anti-communist, aggressively nationalistic and

anti-Semitic (hostile towards Jews)

• in the post-war period of political violence the Nazis organized their own "private

army" who were to serve as the party's political storm troopers called the

Sturmabteiling (SA) referred to as Brownshirts because of their uniform

Hitler's Key Ideas

• November 9 1923 Hitler and the Nazis attempted to overthrow the government in

Munich (Munich putsch) but it was unsuccessful > Hitler was arrested and imprisoned in Landsberg Castle for nine months where he wrote Mein Kampf (My

Struggle) that documented the story of his life and his ideas:

▪ he opposed the Weimar Republic ("abortion of filth"), democracy, Marxism,

liberals and pacifists, Christian moral values and the rule of law, and Jews

▪ he defined personal freedoms as "rotten liberalism" incompatible with a strong and vigorous nation

▪ the racial superiority of the Aryans or Nordic people was a key component of his

philosophy and he promoted the Aryan myth > according to Hitler the Germans

were the purest example of the Aryan superhuman race while Jews, Slavs,

Africans, others were at the bottom of the human scale

▪ an important aspect of the Nazis racial policies was the concept of Lebensraum (living space) which stated that inferior races neighboring Germany (especially to

the East) would have to make room for the superior Germans > Lebensraum

would become the foreign policy expression of the Aryan myth and Hitler's

military action to the east (Poland, Russia) during World War II were the

implementation of Lebensraum

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• after Hitler was released from jail in 1924 Germany was beginning her economic

recovery and the political instability of the previous years was over leaving no room

for political extremists so Hitler achieve political power democratically > he rebuilt the Nazi party into a tightly knit movement with branches throughout the country >

1926 he formed the black-shirted Schutzstaffel (SS), Hitler Youth, Nazi German

Student League, Teachers' League, Women's League and Physicians' League

Electoral Growth

• during times of political stability and economic prosperity the Nazi party achieved

little election success > May 1924 the Nazis had 32 seats in the Reichstag and

dropped to 12 seats in the May 1928 election

• the Nazis ideas were more attractive to people during times of dissatisfaction because of economic problems > as a result of the economic problems caused by the

Great Depression following the New York stock market collapse in October 1929 the

Nazis gained 230 seats in the Reichstag in the July 1932 election and were the

largest party in the Reichstag

Nazis Election Platform

▪ the Nazis promoted extreme nationalism and included in this nationalism was the myth of Aryan supremacy and rabid anti-Semitism

▪ rejection of the Treaty of Versailles

▪ opposition to communism > manufacturers and landowners viewed Hitler as

their best defence against communism and he also appealed to the middle class

who were concerned with the possible return of the chaotic conditions of 1923 that destroyed their wealth (most of the Nazis electoral support came from the

middle class)

• Hitler effectively used the radio, press and the airplane in national campaigning and

hammered home a simple message:

▪ the problems of the German people could be solved by overturning the Treaty of

Versailles, reclaiming lost territories, canceling foreign debts, eliminating foreign

elements and Jews from the country, and reaching full employment through government spending on public works and rearmament

• 1930 the coalition government split apart under the strain of mounting

unemployment as the Social Democrats refused to accept cuts in unemployment

benefits proposed by its partners in government

• President Hindenburg, General Kurt von Schleicher and many prominent Germans

saw the collapse of the coalition government as an indictment against democracy

and thought it was an example of how parliamentary democracy was incapable of

dealing with an emergency

• March 1930 Hindenburg appointed Henrich Bruning (Centre party) as chancellor who formed a centre-right coalition government and stated that if the Reichstag

opposed Bruning's policies he would approve them by decree and dissolve the

Reichstag and call new elections > the Social Democrats refused to cooperate and a

new election was called

• September 1930 the Nazi party achieved greatest gain to date and received 107

seats (12 in 1928) and became the second largest party in the Reichstag

• Hitler's support came from three main sources:

▪ middle class who were concerned about their businesses and jobs and the Communists and Social Democrats

▪ small landowners who were concerned that their property and way of life was

threatened

▪ new young voters who saw no future in a weak democracy

• Bruning was unable to get a majority in the Reichstag and as the depression

deepened he was not able to get approval for his budgets and resorted to rule by decree

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• Bruning tried to use the depression the end reparations by proving Germany could

no longer make payments so he reduced wages, cut unemployment benefits and

increased taxes and as a result made conditions worse

• 1932 Bruning proposed land reform that would break up the aristocratic estates

and Hindenburg fired him and appointed Franz von Papen as the new chancellor who ruled solely by decree

• Papen wanted Nazi support rather than the Social Democrats so he arranged for

Hitler to join the government

• July 1932 election the Nazis received 230 votes and became the largest party in the

Reichstag (refer to table in TCH p.93) and consequently Hitler demanded to be made

chancellor but Papen refused

• Papen's government planned to spend its way out of the depression with public

works programs but the Nazis refused to cooperate unless they were given power so

Papen asked Hindenburg to dissolve the Reichstag and call another election hoping the Nazis would lose support

• November 1932 elections the Nazi party dropped to 196 seats but still remained the

largest party in the Reichstag but more importantly the Communists won 100 seats

• the Nazi party was short of funds and starting to lose popular support but then

came a turning point for the Nazi movement at a meeting on January 4, 1933

German industrialists promised to pay Nazi election debts in return for Hitler's

promise of a hands-off policy toward German industry and to get rid of the socialist elements in the Nazi party

• December 1932 Schleicher replaced Papen as chancellor but the industrialists were

suspicious of Schleicher's attempt to gain support from trade unions for his

government so Papen proposed to Hindenburg to bring Hitler into government while

the Nazis still had significant support, the Social Democrats were losing support

and before the Communists gained more support

• Schleicher began an investigation into the misuse of public funds by landholders

during land reform and landowners demanded his resignation and to be replaced by Hitler

• January 30, 1933 Hindenburg appointed Hitler as chancellor

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Hitler and Nazi Germany

Factors that contributed to Hitler’s Rise to Power

Treaty of Versailles

• the new democratic leaders of the Weimar Republic signed the Treaty of Versailles

which Germans thought was harsh and humiliating

• Germans blamed the leaders of the republic for accepting the treaty and they

resented it and became bitter towards the government responsible for it as a result

the treaty and democracy were associated with one another and undermined its

credibility

Attitude towards Democracy

• slowness and inefficiency of democracy frustrated many Germans who were used to

the ability of an authoritarian (Kaiser) government to appear efficient

• many judges, top civil servants, army officers disapproved of democracy and even

conspired to overthrow the republic (1923 Munich Putsch)

• proportional representation encouraged small parties and as a result prevent a

party from gaining a majority of seats in the Reichstag

• consequently coalition governments were necessary but were ineffective, unstable

and frequently broke up which resulted in an election

• the instability of coalition governments reinforced the idea that democracy was weak and ineffective

• Germany had a militaristic tradition making it difficult to establish democracy

Great Depression

• people wanted someone to blame and looked to extreme solutions and Hitler offered

them both

• during the economic crisis Germans voted for the Nazis because they were

desperate > the number of Nazi seats in the Reichstag increased from 12 in 1928 to 107 in July 1930

• the economic depression that started in 1929-1930 hit Germany very hard and

resulted in massive unemployment and people lost their savings

• the middle class blamed the political leaders of the Weimar Republic for the inflation

and devalue of the mark in 1923 that financially ruined them and now they feared

another financial disaster so they supported Hitler’s direct action approach

• people looked for strong leadership to end the uncertainty and turned to political

leaders who promised a return to order and stability which Hitler appeared to offer

Nazi Program

• Nazi Party program offered something for everyone

• Hitler claimed the problems of the German people could be solved by overturning

the Treaty of Versailles, reclaiming lost territories, canceling foreign debts,

eliminating foreign elements and Jews from the country, addressing unemployment

through public works and rearmament Hitler’s message brought hope of an end to

the economic crisis and renewal of pride and self-confidence in the German people

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Hitler

• Hitler’s energy and oratory attracted people to him as a political leader

• his message against his opponents was simple and delivered with passion

• he appealed to the emotional, irrational side of human nature through mass rallies

> Jews were to blame for Germany’s problems

Support of the Industrialists

• after the November 1932 election the Nazi party was short of funds, bankrupt and

starting to lose popular support (went from 230 seats to 196 seats)

• January 1933 German entrepreneurs promised to pay the Nazi election debts in

return for Hitler’s promise of a hands off policy toward German industry and

weaken the unions

• Hitler also promised to eliminate/purge the socialists elements from the Nazi party (Night of the Long Knives June 1934)

• industrialists and landowners thought that Hitler was the only one able to defeat

the communist

Sturmabteiling (SA)/ Brownshirts

• SA attacked people who opposed Hitler

• opponents intimidated to remain quiet out of fear

• police and judges sympathized with the SA and did not prosecute them for their

crimes

Hindenburg

• Chancellor von Papen could not get enough support in the Reichstag

• Hindenburg and von Papen had to govern by emergency decree

• Hitler offered Vice-Chancellorship but refused

• January 30, 1933 Hindenburg appointed Hitler Chancellor of a coalition government

with Von Papen as Vice-Chancellor > they thought they could control Hitler

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Hitler and Nazi Germany

Hitler’s Consolidation of Power and Dictatorship 1933-1939

Hitler’s Consolidation of Power 1933-1934

• Reichstag Fire February 27 1933

▪ the Reichstag is burned down by Communist Marinus van der Lubbe who was

arrested

▪ Hitler claimed it was the beginning of a Communist revolution and used it gain

emergency power from President Hindenburg and arrest Communists

• General Election March 5 1933 ▪ the Nazis received 44% of the vote which gave them the most seats in the

Reichstag (288) but not a majority

▪ Hitler arrested the Communist members of the Reichstag which then gave him a

majority in the Reichstag

• Enabling Act March 23 1933

▪ Hitler forced the Enabling Act through the Reichstag by coercion and intimidation

▪ the Enabling Act gave Hitler the power to rule by decree without the Reichstag’s

approval essentially making him a dictator

• Gestapo/Concentration Camps April 26 1933

▪ Hitler established the Gestapo the state secret police to spy upon and terrorize

suspected opponents of the Nazis ▪ opponents were arrested and sent to concentration camps to perform manual

labour > Communists, Jews, homosexuals, gypsies, etc.

• Trade Unions Abolished May 2 1933

▪ Hitler banned trade unions so workers did not have any rights; union leaders

were imprisoned ▪ the German Labour Front replaced unions

• Political Opposition Parties Abolished July 14 1933

▪ Hitler banned opposition parties by introducing the Law against the Formation

of Parties and imprisoning leaders of other parties

▪ Germany became a one party state

• Night of the Long Knives June 30 1934 ▪ Hitler purged the SA killing many including the leader Ernst Rohm

▪ the SA challenged Hitler’s authority and the purge was also to fulfill his promise

to the industrialist to rid the party of its socialist elements

• Hindenburg’s Death August 19 1934

▪ following Hindenburg’s death Hitler merged the offices of President and

Chancellor and assumed the title “Fuhrer” (leader) ▪ Hitler was now leader of the army who swore an oath of loyalty to him

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Hitler’s Dictatorship 1934-1939

• Youth Organizations ▪ Hitler established youth organizations such as the Hitler Youth (boys) and Bund

Deutscher Mädel (girls) to instill Nazi ideas

• Education

▪ Hitler took control of the curriculum in schools so as to indoctrinate the

students with Nazi ideas

• Propaganda ▪ the Nazis subjected Germans to continuous propaganda which developed

Hitler’s cult of personality

▪ Joseph Goebbels was the Minister of Popular Enlightenment and Propaganda

• Religion

▪ Hitler signed the Concordat with the Pope agreeing to leave the Catholic Church

alone if it stayed out of politics ▪ Protestants were sent to concentration camps if they opposed the Nazis

• Nuremburg Laws 1935-1939

▪ the Nazis introduced a series of anti-Semitic laws that denied Jews rights such

as the Reich Citizen Act which denied Jews the right to vote (refer to TCH p.115-

116)

• Kristallnacht (Night of Crystal Glass) November 9-12 1938 ▪ the Nazis attacked Jews and destroyed Jewish shops, homes and synagogues

and arrested and sent 30, 000 Jews to concentration camps in response to the

assassination of a German diplomat in Paris by a Jew

• Autarky (economic self-sufficiency)

▪ Hitler wanted Germany to be economically self-sufficiency and less dependent of foreign imports which makes Germany vulnerable

▪ autarky would allow Germany to wage war

• Public Works

▪ Hitler addressed unemployment by the construction of public works

▪ the National Labour Service administered public works programs

• Rearmament ▪ Hitler addressed unemployment by reintroducing conscription and the

development of an air force

▪ conscription and an air force was also preparation for war

• German Labour Front

▪ Hitler banned trade unions and replaced it with the German Labour Front

▪ the Strength through Joy program offered rewards to workers

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The United States 1919-1941

The Great Depression: Causes and Effects

Economic Cycles

• the history of the world economy in the 20th century is a pattern of periods of growth

(boom) and decline (recession)

• the 1930s was a severe period of decline when the world economy experienced

conditions worse than a recession

• 1929 the U.S economy started to go bust and by 1932 so did the economies of other countries > Great Depression

Causes of the Depression

Collapse of the stock market

• from June 1928 U.S. began to lend less money abroad to other countries because investment in the American stock markets became more profitable

and thought to be safer than lending to foreign borrowers especially to

borrowers effected by falling world prices

• as less American money was available to Europe businesses started to

decline and caused unemployment

• NY stock market crash shook U.S. economy already unsettled by a decline

in demand for manufactured/consumer goods and falling agricultural prices

• 1929 U.S. lending to other countries declined by more than half as the

stock market crash help to stop the flow of money

Tariffs

• European countries needed to earn money from trade (exports) to pay debts

to each other and the U.S. and borrow money to help revive their

economies > 1924-1928 majority of American loans were to Europe

• every trading nation, except Britain, imposed protective tariffs but the most

significant obstacle to the free flow of international trade was imposed by the U.S. with the 1922 Fordney-McCumber Act > it raised duties on imported goods so

imports would be more expensive than goods produced in the U.S.

• the tariff denied countries the ability to export their goods to the wealthy U.S.

market and therefore they were unable to earn money to repay their American (or

Western European countries) loans

• June 1930 Smoot-Hawley Act raised American custom duties further which

prompted other countries to raise their tariffs (Australia, Cuba, France, India, Italy,

Mexico, New Zealand, Spain, Switzerland) > after Germany raised tariffs Denmark, Sweden, the Netherlands, France, Belgium and Switzerland raised their tariffs in

late 1931-1932 > Britain established its Imperial Preference policy > consequently

international trade was harmed more and restricted further

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World War I debt

• European countries needed to export their products to the U.S. and other nations in order to earn the money to repay loans to the U.S. and Western European nations >

they also borrowed money to revive their economies

• however as the U.S. and other countries established protective tariffs foreign

nations were unable to sell their products and international trade was reduced and

as a result the countries were not able to repay their loans

Overproduction of consumer goods and agricultural products

• the industrial capacity of the U.S. expanded beyond the ability of the consumer to

consume > workers’ wages were not rising fast enough to buy the consumer goods

available (even with credit) and as a result there was a surplus of goods on the

market

• 1920s agricultural prices dropped as foreign markets collapsed and the domestic

market shrank > the world's farms and plantations were producing too much > overproduction

• as the earning power of the producers of food and raw materials dropped so did

their purchasing power and so did their purchases of manufactured/consumer

goods

• as the prices of goods (especially food and raw materials) continued to dropped in

the fall of 1930 and early 1931 business profits and share prices dropped

• in the U.S. one effect of the drop in prices and production was the failure of many

banks as much of the money they lent was no longer there to be paid back by

ruined farmers and businesses

Lack of Government Regulations

• the American economy was unregulated

• American capitalism was very innovative but the lack of control by any regulatory

bodies led to financial instability (i.e. the Depression)

• agriculture, coal, iron, textile industries were experiencing problems 1920s

Uneven distribution of wealth

• approximately 8.2% of U.S. families enjoyed 42% of the nation's total income while

59.5% of American families received only 2.7% of the total income

• 40% of the population was living in poverty

• many Americans did not earn enough money to buy consumer goods

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Effects of the Depression

Unemployment

• as the Depression deepened unemployment worsened and there was approximately

25% unemployment in industrialized countries

• when the Depression occurred in the U.S. 13 million Americans were unemployed

and social welfare benefits such as unemployment insurance or health insurance

did not exist the effects of unemployment were severe

• many had to stand in bread lines and sleep outside after they lost their homes because they could not pay for the mortgage

• by 1932 one out of four American families was on relief and Hoover passed the

Emergency Relief Act to assist cities in funding relief projects

Business and Bank Failures

• in the U.S. one effect of the drop in prices and production was the failure of many

banks as much of the money they lent was no longer there to be paid back by ruined farmers and businesses

• if one large bank was seen to be unable to pay back what it owed to its creditors and

went broke a panic started as everyone would want their money back knowing that

not everyone would get it > when banks closed the supply of money available for

lending to businessmen and traders was no longer available > approximately 6000

bank failures in the U.S.

• approximately 9 million savings accounts were lost as a result of banks going

bankrupt

Loss of farms and homes and drop in standard of living

• the drop in agricultural prices lowered farmers earnings and they were unable to

pay their mortgage and lost their farm > unemployed workers were unable to pay

their mortgages and lost their homes

• the standard of living dropped for farmers and workers resulting in poverty, illness,

and death

Political consequences and changing role of government

• in some countries like the U.S. the political system was severely tested by the effects

of the Depression while in other countries like Germany the political system did not

survive

• as the Depression deepened governments started to take a more active role in caring for its people (unemployment insurance, welfare, etc.) and managing the economy

(especially after World War II) > Keynes

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The United States 1919-1941

The New Deal

Purpose

• the New Deal was intended to provide relief to the poor and unemployed, recovery

for the economy and reform to prevent another depression

New Deal March June 1933 – Major Legislation and Agencies

Emergency Banking Act

• March 4 Roosevelt declared a four-day bank "holiday" in an attempt to stabilize the banking crisis > 4000 banks had gone bankrupt

• March 9 Congress passed the Emergency Banking Act which extended aid to the

stronger banks, forbade the export of gold and redemption of currency in gold,

established government regulations for banks, and allowed the government to

determine which banks were solvent enough to reopen

• March 12 Roosevelt spoke to the American people on the radio in the first of many

"fireside chats" and stated that there was no longer any reason for withdrawing

money from the bank and it was safe to deposit money

• March 15 approximately half of the country's banks were declared fit to reopen and people deposited more money than they withdrew

Civilian Conservation Corps (CCC)

• organized activity for unemployed young men

• 2.5 million young men participated and planted trees, stocked rivers, built

wildlife shelters, dug canals

Agricultural Adjustment Administration (AAA)

• established to control growth of crops and livestock and guarantee prices

• farmers decided what total production of each crop should be and then set

an average quota for each farmer

Federal Emergency Relief Administration (FERA)

• provided immediate relief to those in need and public employment

• constructed or improved 5,000 public buildings, 7,000 bridges, cleared streams and dredges rivers, organized nursery schools for children of poor

families, and helped 1.5 million adults to read and write

Tennessee Valley Authority (TVA)

• government development of a poverty stricken region covering seven states

• built dams to control floods and generate cheap hydro-electric power

Home Owners' Loan Corporation (HOLC)

• established to assist home owners unable to keep up mortgage payments

• refinanced one-fifth of all mortgaged urban houses

National Recovery Administration (NRA)

• established to stabilize prices of manufactures and assist organized labour

• established codes to guarantee minimum wages, maximum hours of work

and union rights of collective bargaining > it eliminated child labour

Public Works Administration (PWA)

• provided employment on large scale public works

• 1933-1939 built 70% of new schools, 65% of new courthouses, city halls, sewage plants, 35% of new hospitals, bridges, tunnels and harbour facilities

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New Deal April 1935-1938

Works Progress Administration (WPA)

• also known as the Wagner Act it replaced the banned NRA

• established to put as many unemployed people to work as soon as possible

• it provided employment for approximate 3 million of America's 10 million

unemployed

• by 1941 it invested 11 million dollars into the economy, built or improved

2,500 hospitals, 5,900 school buildings, 1,000 airport landing fields, and

13,000 playgrounds

• it established the National Youth Administration (NYA) which created part

time work for 600,000 college students and 1,500, 000 high school students Resettlement Administration (RA) (replaced by FSA in 1937)

• attempted to deal with the problem of rural poverty

• it aimed at giving poverty stricken farmers and sharecroppers new starts

on good land

National Labour Relations Board (NLRB)

• established by the Wagner Act July 1935 protected workers who wanted to bargain

collectively with employers for better wages and working conditions

Social Security Act 1935

• established a national system of old age pensions for most employees and

unemployment insurance Soil Conservation Act

• replaced the banned AAA

• allowed the government to continue subsidizing farmers National Housing Act

• provided loans to buy houses and reduced excessive rents

Fair Labour Standards Act

• set hours and conditions of work and fixed a minimum wage

Opposition to the New Deal

• many companies, bankers, and Republicans thought that the programs, especially

relief, were a wastes of taxpayers' money and saw government regulation of industry

as a sure sign that communists were running the White House

• May 1935, in the Schechter Brothers case, the Supreme Court ruled against the

NRA's authority to impose codes on employment and regulate working conditions

which had the potential to threaten the rest of the New Deal > however the Supreme

Court reversed the decision in April 1937 as well as rule that old age pensions and unemployment insurance established by the Social Security Act were constitutional

in May

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Successes and Failures of the New Deal

Effective/Successes Not Effective/Failures

• initial acts instilled confidence in the government and gave people hope (ex. Emergency Banking Act)

• Emergency Banking Act helped to stabilize banking

• alphabet agencies provided relief or help from hunger, unemployment, mortgages

• FERA built or improved 5,000 buildings and 7,000 bridges

• PWA provided employment and provided valuable economic and social

infrastructures such as roads, bridges, airports, schools, hospitals, etc.

• NRA eliminated child labour

• WPA employed 3 million people and built or improved 2,500 hospitals, 5,9000 schools, 1,000 airports, 13,000 playgrounds

• NLRB increased union rights and bargaining power and established a minimum wage

• Social Security Act provided pensions and unemployment insurance

• New Deal did not end the Depression as the war brought it to an end

• many black Americans and immigrants were laid off as a result of the NRA and NLRB’s attempt to give workers rights

• opposition to New Deal came from businesses who did not support government interference and workers’ rights and from state governments who thought the federal government was

infringing on their powers

• AAA policy of destroying crops and livestock was unpopular when people were short of food and clothing; policy of reducing acreage under cultivation resulted in tenant framers/sharecroppers being evicted from their farms

• NRA codes not mandatory and therefore were ignored; it did not stabilize prices of manufactures or improve wages and working conditions through organized labour

• RA planned to settle 500, 000 poor farming families but resettled fewer than 5,000

• PWA created only temporary employment

• WPA provided employment for only one third of the nation’s unemployed

• Socials Security Act did not set national rates of benefits for the unemployed or unemployable or insurance for workers who lost their jobs because of illness, pensions were not extended to all the elderly

• opposition to the New Deal included companies, bankers, wealthy, who thought

that it was a waste of tax payers money and government should not be involved in the economy and regulating it to this extent

• 1935 Supreme Court ruled NRA codes on employers and AAA were unconstitutional (illegal) because they took away the states’ power (court reversed its decision in 1937)