KEY TERMS Key Terms and People to Know for the Regents Exam
Franklin Delano Roosevelt
FDR was elected in 1932 to replace Hoover because FDR promised to change the govt’s approach, to use govt power to help the poor, to create jobs, to regulate banks, and to try to fix the economy (the opposite of laissez-faire).
The New Deal
FDR called his approach a “New Deal” for America. It focused on relief (jobs and aid for the poor), recovery (programs to get the economy going) and reform (new regulations). FDR used “fireside chats” on the radio to explain New Deal programs to the people.
New Deal Jobs Programs
The Works Progress Administration (WPA) hired millions of people to complete public works projects (dams, school buildings, public art). The Civilian Conservation Corps (CCC) put young men to work maintaining national parks.
Bank Holiday / FDIC / SEC
FDR closed banks to stop bank runs and then created the Federal Deposit Insurance Corporation and the Securities and Exchange Commission with new protections and regulations to give people confidence in the banking system.
Agricultural Adjustment Act
FDR paid farmers to limit production so they could limit supply and get paid more for their crops. This hurt African-American sharecroppers because white landowners received money if they kept sharecroppers from producing crops.
Wagner Act
The National Labor Relations Act of 1935 (Wagner Act) act guaranteed labor unions the right to organize and bargain collectively. This act was opposed by Republicans and business leaders.
New Deal Critics
Critics thought the New Deal gave govt too much control over business. For example, the National Recovery Act (NRA) allowed the govt to regulate prices and wages. The Supreme Court declared the NRA unconstitutional (Schechter Poultry v. US).
Court Packing Scandal
In response to Supreme Court decisions against New Deal programs, FDR tried to “pack” the court in his favor by adding six more friendly judges. Congress refused his request because it would upset the system of checks and balances.