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The New Deal

If you order your Write a research paper on The New Deal billion dollars in hand outs and work relief. The Home Loan Corporation assisted thousands of property owners and lending institutions throughout this difficult period. One of the most important relief agencies of the New Deal was the Works Progress Administration (WPA), which was also run by Harry Hopkins. The WPA built or improved more then two thousand five hundred hospitals, five thousand nine hundred school buildings, and around thirteen thousand playgrounds. The WPA provided funds for federal theatre arts, and writers projects that enriched America’s cultural life. The WPA’s National Youth Administration gave financial aid to more the two million high school and college students. The majority of the WPA’s money, approximately eleven billion dollars, went to short-term projects that assisted the unemployed. During this time the WPA helped more than three million people. In return for this federal involvement and help, the millions of Americans who benefited from it, especially blacks and other minorities, showed their gratitude by voting for Roosevelt and the Democratic Party in following elections. The relief policies of the New Deal, “helped to restore much confidence in the nations political institutions and diminish the growing agitation of the American people for a radical solution to hard times.” (Grolier) (Dulles)

Some of the recovery programs of the New Deal were the Agricultural Adjustment Administration (AAA), the National Recovery Administration (NRA), and the Public Works Administration (PWA). Unlike the relief agencies, these programs concerned themselves primarily with the long-term goal of stabilizing and improving agriculture, business and employment. The AAA’s solution to depleted farm prices was, domestic allotment. Domestic allotment encouraged commercial farmers to cut



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production of basic crops and livestock. It was hoped that these reductions would increase market prices. Any farmer that participated received federal subsidies. The NRA was an undertaking in government business cooperation. Labor leaders and businesses were encouraged to sign codes of fair competition within their industries. These set guidelines for pricing and production and guaranteed labor the right of collective bargaining, minimum wages and maximum hours. In 15 though, the NRA was declared unconstitutional due to the fact that these codes provided for an unnecessary transfer of legislative authority to the President. The PWA helped build courthouses, sewage plants, bridges, hospitals, city halls, and constructed public housing for the poor. “Throughout the 10’s the New Deal was opportunistic and practical. It worked with, rather than against, large commercial farmers and big businesses. It respected voluntarism, decentralization and states’ rights.” (Grolier) (Auerbach)

Despite all the good things that the New Deal did for this country it fell short in some areas. The New Deal lacked a consistent economic philosophy, and its relief measures did not go far enough. Organizations such as the WPA failed to reach more then seven million unemployed people and their families. The WPA also paid extremely low wages. People that were unemployable, such as the sick, the crippled, the aged and dependant children, were left to depend heavily upon the states, which was often unable or unwilling to help. Other organizations like the AAA, while it did much good also created much hardship. The AAA created hardship for many tenants who were forced off the land, and for consumers who had to pay higher prices for food and clothing. For



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these reasons as well as others we must judge the New Deal as a partial success. (New Deal) (Grolier) (Dulles)

The people who complained though that the New Deal did nothing of consequence were quite wrong. On the contrary, there were several domestic reforms that took place during the 10’s that were significant. For example, the Federal Deposit Insurance Corporation, who helped prevent banking panics. Others were the Securities and Exchange Commission, which made a start towards federal regulation of the stock market, as well as the Banking Act of 15, which increased Washington D.C.’s control over money policies. A corporation that was an especially significant accomplishment of the New Deal was The Tennessee Valley Authority, created in 1. It was a public corporation that dealt with the manufacturing of fertilizer in order to conserve soil, and in social experiments with state and local agencies. But The Tennessee Valley Authority’s most significant achievement was its building of multipurpose dams to control floods, and also to generate cheap electric power. Another prominent achievement of the New Deal was The Social Security Act of 15. This law involved the federal government in a variety of programs, such as, old-age pensions, unemployment insurance, and assistance to the needy, blind, disabled and dependant children. Although this act too, fell short in areas such as, many workers were not covered, and states were expected to provide most of the money for the blind, disabled and dependant, this act late became the basis for a later expansion in federally assisted social services. (Odur) (Grolier) (Dulles)

The most significant accomplishment of the New Deal was the reform it provided for labor-management relations. The National Industry Recovery Act provided for many



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rights that laborers had never been granted in the past. Some of these rights include that “employees should have the right to organize and bargain collectively through representatives of their own choosing, free from interference, restraint or coercion on the part of employers; no one seeking employment should be required to join a company union or to refrain from joining any labor organization of his own choosing; and employers should comply with maximum hours, minimum rates of pay and other conditions of employment approved by the President.” The basic purpose of the National Industrial Recovery Act was, in the words of President Roosevelt, “to put people back to work.” The National Industrial Recovery Act “ensured reasonable profits for industry by preventing unfair competition and overproduction, and living wages for labor by spreading work through shorter hours.” Roosevelt described the law as, “the most important and far-reaching legislation ever enacted by the American Congress. Unfortunately however the National Industry Recovery Act was found unconstitutional in the famous Schecter poultry case. (Dulles) (Cohen) (Auerbach)

In 14 Senator Wagner introduced a bill that would close “loopholes” that enabled industry to “cripple” labor’s strength by setting up company unions and refusing to bargain collectively with any other group. The Wagner bill had strong support from labor, in fact people were so in favor of the Wagner bill that it was said about it that, “the spirit of the workers in America have been aroused [in anticipation of this bill]. They are going to find a way to bargain collectively…. Labor must have its place in the sum. We cannot and will not continue to urge workers to have patience, unless the Wagner bill is made law, and unless it is enforced, once it becomes law. The National Labor Relations



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Board, which was made up of three members, who had the sole authority to determine the appropriate bargaining unit and to supervise the elections by which employees chose their representative for dealing with employers. This board could also hear complaints of unfair labor practice, and could issue “cease” and “desist” orders if necessary. The National Labor Relations board could also petition the courts for enforcement of their orders. (Dulles) (Grolier) (Cohen)

The New Deal despite its faults did many a great thing for this country, and for the American people. Under the New Deal the executive branch, particularly the President became much more activist and innovative. Local and State institutions began administering federal programs and appropriating funds for programs such as match-grants. The New Deal aided in providing jobs for the jobless, food for the hungry, and shelter for the homeless. Employees were given new status and were no longer treated as slaves. In these ways as well as others the New Deal, “set in motion long-range trends toward governmental expansion and modernization.”(Grolier)



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Works Cited

Auerbach, Jerald S. American Labor the Twentieth Century. Indianapolis, Indiana Bob-

Merrill Educational Publishing. 177.

Depression and a New Deal for Workers, pg 1

Cohen, Sanford. Labor in the United States 4th edition. Columbus, Ohio Charles E.

Merrill Publishing Company. 175.

The Development of Collective Bargaining, pg 5 75

Dulles, Foster Rhea. Labor in America, A History rd edition. Northbrook, Illinois AHM

Publishing Corporation.166.

The New Deal, pg 64 1

http//www.newdeal.feri.org/

http//www.odur.let.rug.nl/~usa/H/14/ch10 p4.htm

http//www.gi.grolier.com/presidents/ea/side/newdeal.html

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