The Great Depression:
Roosevelt’s New Deal
11TH GRADE US HISTORY
RICHARD CANALES
Sources: Encyclopedia Britannica https://www.britannica.com/place/United-States/The-Great-Depression#ref613060
History https://www.history.com/topics/great-depression/great-depression-history
Khan Academy
Content Standard & Learning
Objectives
CONTENT STANDARD 11.6 STUDENTS ANALYZE THE DIFFERENT
EXPLANATIONS FOR THE GREAT DEPRESSION AND HOW THE NEW
DEAL FUNDAMENTALLY CHANGED THE ROLE OF THE FEDERAL
GOVERNMENT.
UNDERSTAND THE PURPOSE OF THE NEW DEAL
KNOW HOW THE “ALPHABET SOUP” AGENCIES WERE INTENDED TO
ADDRESS THE PROBLEMS OF THE GREAT DEPRESSION
CONSIDER WHY THE NEW DEAL IS STILL RELEVANT TODAY
Quick-write
Using the next two minutes, write down as much as you can about
what kind of support the government currently provides to people
experiencing unemployment, poverty, or old age.
Problems presented by the Great
Depression
Rapid economic growth throughout the 1920s led to over-
speculation
A mild recession during the summer of 1929 signaled trouble
The stock market finally crashed on October 24, 1929 (“Black
Thursday”)
Investors rushed to sell their stocks, which caused their prices to
plummet
The market lost a third of its value in less than a month
The Great Depression
American consumers felt insecure, which
discouraged spending
Businesses and factories slowed production and Less Spending
began to lay-off workers
Massive unemployment led to lower wages and
purchasing power
Americans began to fall into debt and, unable to
pay their loans, had their homes repossessed
Unemployment
Businesses cut
and lower
production
wages
Problems presented by the Great
Depression
The resources of local governments and private charities were
strained by the sheer number of those in need
The lack of federal social welfare programs meant increasing
numbers of Americans were left hungry and homeless
Bank runs led to the closure of thousands of financial institutions,
further crippling the economy
Hoover’s response
President Herbert Hoover firmly believed
the government should not interfere
with the economy
Hoover raised tariffs, funded public
works, tried to support financial
institutions, but his efforts were
ineffective, and he refused to back
welfare relief
Franklin Delano Roosevelt becomes
president
The election of 1932 made it clear that
Americans were ready for a new approach:
FDR won with 57.4% of the vote compared to
Hoover’s 39.7%
FDR took office on March 4, 1933
FDR sought to reassure the public and ease
anxieties: “The only thing we have to fear is
fear itself”
Apply
Imagine you living during the Great Depression and find yourself
unemployed. Respond to the following questions.
What would your key concerns be?
Where could you go for help?
How would you want your government to respond?
The (First) New Deal
FDR’s primary goals were to provide relief, stimulate economic
recovery, and to pass reforms that would prevent future crises
On his second day in office, he declared a “bank holiday”
This move allowed time for FDR’s administration to establish itself and
marked the initiation of his New Deal programs
FDR quickly passed a series of legislation during the “First Hundred
Days”
Federal Relief Emergency
Administration (FERA)
Established by Congress on May 12, 1933
This program directed half a billion dollars towards state and local
relief agencies through federal grants
These grants were used to pay the salaries of government workers
and to support soup kitchens
National Recovery Act (NRA)
This act was aimed at putting the economy back on track
Established the National Recover Administration
Allowed the government to set wages and prices
Guaranteed workers the right to unionize
Federal Deposit Insurance
Corporation (FDIC)
Insured that money deposited into a bank would be repaid by the
government if the bank went out of business
This was followed by the Securities and Exchange Commission (SEC)
which introduced government regulation to the stock market
Apply
Which programs of the (First) New Deal do you think were the most
helpful or important? Explain your reasoning.
The “Second” New Deal
The “Second” New Deal was aimed at passing long-lasting reform
Political opponents and shifts in power in the House and Senate
slowed the momentum of the “Second” New Deal
New Deal programs also began to be defeated in the Supreme
Court
Works Progress Administration
(WPA)
This administration was responsible for getting
Americans back on their feet by providing them
with jobs
It was intended to replace direct relief with work
relief
The administration employed 8.5 million people
from 1935 to 1943
Wagner Labor Relations Act
Gave workers federal protections when collectively bargaining
Protected workers from unfair practices
Social Security Act
Provided federal aid for the elderly,
retirement pensions, and
unemployment insurance, aid for
the disabled, and aid for
dependent children
Fair Labor Standards Act
Established a minimum wage and 40-hour work week
Mandated time-and-a-half overtime pay
Restricted child labor
Summary Questions
Write short responses to the following questions:
How do you think the regulatory and social welfare programs
implemented under the New Deal changed citizens’ perception of
the role of government?
Evaluate FDR’s response to the Great Depression. In your opinion,
was the New Deal a success or failure?
Did you recognize any New Deal programs that still exist today?