FDR by Jean Edward Smith–Part II
FDR by Jean Edward Smith
A Book Report by Bobby Everett Smith
Part II of the Book Report: The New Deal
March 15, 2018
Spoiler Alert
Setting
White House, Washington, D.C. and around the world, 1933’s through 1939
Characters
Franklin D. Roosevelt, Governor of New York, President of the United States–1933 through April 1945
Eleanor Roosevelt, wife of Franklin, First Lady of the United States–1933 through April 1945; a niece of President Theodore Roosevelt. She persuaded Franklin to stay in politics after he contracted polio in 1921, which cost him the use of his legs. She began giving speeches and appearing at campaign events in his place. She significantly reshaped and redefined the role of First Lady. She and FDR separated but remained officially married after she discovered his affair with Lucy Mercer. She was recognized as one of the great women of America for her work in civil and women’s rights.
Missy LeHand, White House Private Secretary to FDR, companion, and hostess for him over a 20-year period. Care-taker and possible lover to FDR.
Sara Delano Roosevelt, FDR’s mother, subsequently the mother-in-law of Eleanor Roosevelt. A devoted mother to him, including home schooling and living close by in adulthood. Had a complex relationship with her daughter-in-law, Eleanor; portrayals of her as a domineering and fearsome mother-in-law, though these are at odds with other views. Died in 1941.
Louis Howe, companion, and Chief of Staff to FDR. Campaign manager, died in 1936. Key advisor to FDR through his first term as president and during his time as Governor of New York.
Earl Miller, New York State Police, friend of Eleanor, possible lover.
Nancy Cook, an American suffragist, educator, political organizer, and friend of Eleanor Roosevelt. co-owner of Val-Kill Industries, the Women’s Democratic News, and the Todhunter School.
Marion Dickerman, American suffragist, educator, vice-principal of the Todhunter School and an intimate of Eleanor Roosevelt.
Anna, the only daughter of FDR and Eleanor. Assisted him in social and administrative duties at the White House. She was married three times.
James, the oldest son of FDR and Eleanor, he received the Navy Cross for extraordinary heroism while serving as a Marine Corps officer during World War II. He served as an official Secretary to the President and in the United States House of Representatives
Elliott, son of FDR and Eleanor; In WWII became a pilot and claimed he flew 89 combat missions in the United States Army Air Force. His decorations included the Distinguished Flying Cross. Involved in frauds related to the purchase of aircraft for the air force. Elliott moved to Miami Beach and Havana with his fourth wife, in 1952.
Frank, Jr., son of FDR and Eleanor; an officer in the United States Navy during World War II. He served as a United States Congressman from New York from 1949 to 1955, the first chairman of the Equal Employment Opportunity Commission from 1965 to 1966 and ran twice for Governor of New York.
John, the sixth and last child of FDR and, Eleanor, and the only Roosevelt son who never sought political office. He served aboard the aircraft carrier USS Wasp, winning the Bronze Star and promotion to lieutenant commander for his actions while his ship was being gunned.
John Nance Garner, Democratic politician from Texas. Vice President of the United States, serving from 1933 to 1941.Chairman of the New York State Democratic Committee, Chairman of the Democratic National Committee, and Postmaster General under the first two administrations of FDR.
Executive Summary
When FDR was inaugurated for president of the United States in March 1933, the country was on the verge of disaster. Banks were closing throughout the nation to prevent massive withdrawal, unemployment was at 30%, farm and home loans were surging, and millions of people were without food. The country needed a proactive federal government who was willing to act. Roosevelt vowed that he would take on the leadership to do that.
In the first 100 days of his administration, Roosevelt requested and got approved 15 major pieces of legislation to help America recover. His first action was to call a special session of Congress to address the banking problems. He closed all the banks for a four-day holiday giving Congress and the banks time to prepare for reopening that would happen without runs to withdraw funds.
To gain citizens’ confidence, FDR, a magnificent speaker, and leader, started to use the radio, a relatively new technology, to conduct “fireside chats.” In these broadcasts to the nation Roosevelt would discuss, in calm, confident tones, the problems the country faced and the way he intended to right them. The country was overwhelmed—filled with hope and renewed confidence.
After a four-day bank closing, the banks opened again and instead of massive withdrawals, people began to deposit what they had previously taken out. Confidence restored, the banking crisis was over. Now, Roosevelt had to put people back to work and to stop the wholesale foreclosures of homes and farms across the country.
The president proposed the CCC, Civilian Conservation Corps, which provided 500,000 jobs for young men to set up conservation and flood control project–a budget of $500 million.
The Federal Emergency Relief Administration (FERA) addressed the urgent needs of the poor soup kitchens, blankets, employment schemes, and nursery schools. The act focused on food to the poor, educating workers, and providing nearly 500,000 jobs for women.
Social Security was enacted as was the Public Works Administration (PWA). The PWA used government money to build infrastructure such as roads and bridges.
The National Recovery Act improved working conditions and outlawed child labor. Wages increased, making it possible for workers to earn and spend more.
Overall this legislation became known as the New Deal. By 1937 and the next presidential election, the country had started to recover. National income had risen by 50%. Six million new jobs had been created and unemployment had dropped by a third. Even so, eight million workers were still unemployed. Stock prices were up 80% and farmers cash income had risen from $4 billion to $7 billion. Corporate profits had zoomed to $6 billion in 1935.
Roosevelt had little trouble in getting elected for his second term as president. FDR decided to try to reduce the amount of federal money being spent on relief. The results were not good, and the country headed into four years of the “Roosevelt Depression.”
Adolph Hitler began his campaign to take over Eastern Europe. Roosevelt was determined to stay neutral and keep America in isolation from the rest of the world. It would take the beginning of World War II to bring our country out of the Great Depression. In Part III of this Book Report, we explore Roosevelt’s leadership in conducting the largest war that had ever been fought on this planet.
The Story
Part II of this book report continues the story of Franklin Delano Roosevelt from the time he was elected President of the United States in 1932 until the beginning of World War II (covered in Part III of the Book Report.)
In his 1932 acceptance speech at the Democratic National Convention to become the next President of the United States, FDR promised aggressive action to tackle the root causes of the depression—securities and exchange regulations, public works, tariff reductions, wages and hours legislation, home mortgage guarantees, farm relief and the repeal of prohibition.
“I pledge you; I pledge myself to a new deal for the American people.
The 1932 Presidential Campaign
FDR and his team ran a flawless campaign and Roosevelt was elected in November 1932 to become the next president.
During the period of the campaign, the summer of 1932, a group of 20,000 veterans who became known as the Bonus Army descended on Washington, D.C. to demand that bonuses they had been promised for 1945 be accelerated for delivery in 1932. Herbert Hoover objected and when the vets camped out on the banks of the Anacostia River adjacent to downtown D.C., the president sent in troops to disband the protesters.
When the veterans expanded their campsites to include unoccupied buildings on Pennsylvania Avenue, the president sent in the Army to disperse the crowds. General Douglas MacArthur led the Third Cavalry Regiment personally. He was assisted by his Chief of Staff Major Dwight D. Eisenhower and his Executive Officer, Major George S. Patton.
Components of the Army surrounded the buildings; cavalry officers drew their swords and army combatants fixed bayonets. The air was saturated with tear gas, but the army quickly achieved its goals and the veterans retreated to their camps on the banks of the Anacostia River.
After a tear gas barrage, the army swept the veterans’ camp, burned their tents, and drove the protesters into Maryland where they achieved safety. The mob, according to General MacArthur, was “animated by the essence of revolution.”
The torching of the veterans’ camp became the symbol of Hoover’s insensitivity to the plight of the unemployed. Roosevelt declared that Douglas MacArthur was the most dangerous man in America.
Throughout the campaign, Hoover was pessimistic and bitter. Roosevelt was optimistic and hopeful. Roosevelt said that if he had been president, he would have invited the veterans to the lawn of the White House and sent out sandwiches.
FDR had an incredible capacity to make people feel that their work was important. He discussed political matters in short, simple sentences. He made a powerful impression wherever he went. “There was a touch of destiny about the man.”
Turnout for the election was the greatest in American history., 40 million voters showed up to cast their ballots and Roosevelt won with an impressive victory, 22 million for FDR, 15 million for Hoover. Roosevelt carried 42 states with 472 electoral votes. The Democrats gained 90 seats in the House with a 3-1 margin over Republicans. They also gained control of the Senate, 60-36.
The Great Depression at its Peak
In West Virginia, more than 90% of the population was under-nourished. In Alabama 81% of children in rural areas were school less. Georgia closed more than a thousand schools and Chicago ran out of money to pay teachers.
Home-owners were being foreclosed a rate of 1000 per day. Farmers lost their land because they could not pay their taxes or mortgages. On a single day one fourth of the State of Mississippi homeowners were under the hammer of foreclosure auctioneers.
Violence simmered throughout the country. In Iowa, farmers blocked highways with logs and telephone poles. In Nebraska, they threatened to come to the capital and tear down the new State Capital. In North Dakota, the Governor activated the National Guard to prevent foreclosures.
The Hoover doctrinaire claimed that the free market superseded government action. Hoover encouraged FDR to follow his policies and thus build confidence in the people that an end to the depression was in sight.
What Hoover had in mind is that FDR should abandon all components of the New Deal—no home loan guarantees, more new taxes, no loans to states by the federal government, no government public works. In short, Hoover implied that Roosevelt should abandon 90% of his proposed agenda. Roosevelt did not buy it.
The First 100 Days
In February 1933, already 389 banks had closed since the beginning of the year. Piece by piece the nation’s credit structure was falling apart and with it the rest of the national economy. Roosevelt kept quiet publicly but was busy preparing his inaugural address to be given March 4, 1933. Overall FDR was “serene and confident, unruffled and unafraid.”
On Saturday at the inauguration, Roosevelt spoke for 15 minutes— “the only thing we have to fear is fear itself.” Our most pressing problem is to put people to work. He stated his intention to use executive power to wage a war against the national emergency the same as if it were a foreign foe.
Roosevelt emphasized the people’s need for hope not despair. At the end of the inaugural address there was no doubt in people’s minds that a new era had begun. The nation asks for “action and action now.”
And action they got. Roosevelt took office with two proclamations: he called the Congress back for a special session and he declared a bank holiday. The banks were to remain closed for four days to prevent further runs and to give Congress time to draft legislation for an orderly reopening.
On Monday, FDR spoke to the nation’s governors who were in Washington for the inauguration. “We must find a way to prevent further foreclosures of farm and home loans.”
By Wednesday the Special Session of Congress was in session and they immediately passed the Emergency Banking Act. Next Roosevelt took steps to control the federal budget. He asked for a 15% cut in all federal salaries which would bring federal pay in line with the deflationary salaries of the civilian population.
At the end of his first week in office, FDR delivered his first “fireside chat.” The banks were to reopen the following day and he wanted to explain to the people what was happening to avoid further runs on the banks. Public response was overwhelming. Reassured depositors returned much of the money which had been withdrawn over the previous few weeks. At the end of the day, the banking crisis was over.
At his next fireside chat, Roosevelt said, “it’s time for a beer,” asking Congress to pass the first legislation allowing alcohol since prohibition was instituted.
The first true New Deal legislation came in the form of the Agricultural Bill which allowed the federal government to pay subsidies for not producing agricultural products.
The next bill was to prevent the foreclosure of farms. This bill provided funding to farmers who were faced with foreclosure–saving the farms at least for a while.
He then proposed the CCC, Civilian Conservation Corps, which provided 500,000 jobs for young men to set up conservation and flood control projects throughout the country. $500 million was requested for these projects. Each employee of the CCC was to receive $30 per month ($25 of which was required to be sent home.)
Overall, this project gave 3 million young men, a job—a new lease on life. 2,500 CCC camps were established across the nation.
Over the first 100 days, Roosevelt proposed and Congress enacted the following additional new laws to help bring the country out of recession.
(Wikipedia)
Federal Emergency Relief Administration (FERA)
Addressed the urgent needs of the poor. It spent $500 million on soup kitchens, blankets, employment schemes, and nursery schools. FERA was involved with a broad range of projects, including construction, projects for professionals (e.g., writers, artists, actors, and musicians), and production of consumer goods. They also focused on giving food to the poor, educating workers, and providing nearly 500,000 jobs for women.
Social Security Administration
Established a system of old-age benefits for workers, benefits for victims of industrial accidents, unemployment insurance, aid for dependent mothers and children, the blind, and the physically handicapped.
Agricultural Adjustment Administration
Created to raise crop prices in response to the rural economic crisis. The administration helped to control the falling prices by setting quotas to reduce farm production. Beyond price adjustment, the act helped farmers to modernize and implement innovative farming methods. In extreme cases, the agency helped farmers with their mortgages and provided direct payment for farmers who would agree to sign acreage reduction contracts.
National Industry Recovery Act
An attempt to rebuild the economy from the severe deflation caused by the Great Depression. This bill was passed by Congress to authorize the President to regulate industry for fair wages and set prices that would stimulate economic recovery.
Public Works Administration (PWA).
The PWA used government money to build infrastructure, such as roads and bridges, for the state. This demand for construction created new jobs, which achieved Roosevelt’s main priority.
National Recovery Administration (NRA)
The National Recovery Act also improved working conditions and outlawed child labor. Wages increased, making it possible for workers to earn and spend more. Today, the act is widely considered a legal failure because it generated large numbers of regulations and resulted in a significant loss of support for President Roosevelt.
Tennessee Valley Authority (TVA)
Established to build dams on the Tennessee River. These dams were designed to stimulate farming in the area while creating hydroelectricity, as well as prevent flooding and deforestation. The hydroelectric power was used effectively to provide electricity for nearby houses. The TVA marked the first time the federal government competed against private companies in the business of selling electricity.
Civil Works Administration
Job creation program to create manual labor jobs for millions of unemployed workers. The jobs were merely temporary, for the duration of the hard winter of 1933–34.
Securities and Exchange Commission
Law governing the secondary trading of securities (stocks, bonds, and debentures) in the U.S. Protect investors. Maintain fair, orderly, and efficient markets. Facilitate capital formation.
Railroad Retirement Act
Social insurance program providing retirement benefits to the country’s railroad workers.
In January 1935, Congress agreed with the president and passed legislation for the appropriation of $4.8 billion to provide work for 3.5 million workers who were on the dole. This was the largest appropriation in American history.
These appropriations working under the Works Progress Administration and the Army Corps of Engineers employed about 3 million people and over the next eight years, WPA brought jobs to a total of 8.5 million Americans. These workers built schools, hospitals, playgrounds, and highways.
Rural Electrification Administration
Provided federal loans for the installation of electrical distribution systems to serve isolated rural areas of the United States. The funding was channeled through cooperative electric power companies, most of which still exist today.
The Roosevelt Depression
Roosevelt was ready for the 1936 campaign. His solution to recover from the depression had proven itself to be remarkable. National income had risen by 50%. Six million new jobs had been created and unemployment had dropped by a third. Even so, eight million workers were still unemployed.
Stock prices were up 80% and farmers cash income had risen from $4 billion to $7 billion. Corporate profits had zoomed to $6 billion in 1935.
Social Security, TVA, Rural Electrification had been enacted. More than half of all Americans thought the depression was over and Roosevelt enjoyed a 60% approval rating.
Roosevelt beat Landon handily in the November 3, 1936 election, winning by 27 million to 16 million votes, 523 electoral college votes to 8 for Landon. A presidential mandate. It was called the Roosevelt coalition, big city bosses, white southerners, farmers, workers, Jews, Irish Catholics, and African Americans, who would dominate politics for the next generation.
After his inauguration, Roosevelt began to have trouble with the Supreme Court. Since 1933, the Court had denied FDR six pieces of New Deal legislation. Roosevelt had not appointed a single Supreme Court justice during his first term of office. He came up with a plan to “pack” the court by allowing more justices than the nine that were then in operations.
Roosevelt was defeated in his court packing scheme and the Supreme Court approved the Wagner Act and the Social Security Act. The victory of the Court fight in 1937 belonged not to FDR but to the constitutional separation of powers, an independent judiciary, and to the law, a victory for America.
In 1937 the New Deal headed downhill and FDR had lost control of the Democratic party.
A series of strikes across the country made the president’s situation even worse. A GM strike went on for over seven weeks with GM refusing to recognize the unions. In May 1937 Chicago police opened fire on marchers from Republic Steel. Ten people were killed, and 30 others wounded. The country was mostly opposed to labor’s increasing militancy, and Roosevelt was caught in the middle. This labor unrest contributed to a new decline in the nation’s economy.
By March 1938 the stock market was broke again. Almost all economic indicators were headed in the wrong direction. Internationally, Hitler was beginning his conquest of Europe. He announced his annexation of Austria in March 1938 and Czechoslovakia next. The Spanish Civil War was in progress. Roosevelt was caught up in America’s recession with the widespread support for American neutrality in the European wars. Isolationism was the order of the day.
On September 1, 1939 Hitler invaded Poland. The European war was underway and the prospect of America remaining neutral began to diminish even more.
Rating
Five stars out of five. Part II of this Book Report on FDR covers his first and second term of office when he was mostly involved in recovery from America’s Great Depression. During his first 100 days in office starting in 1933, Roosevelt passed more than 15 pieces of major legislation which became known as the New Deal. It worked, and the U.S. began to recover from the Depression but in his second term, starting in 1937 he had more domestic problems made worse by Hitler threatening warfare in Europe.
Roosevelt led the world to victory in World War II which is the subject of Part III of this Book Report.
I highly recommend reading this book if you have a thirst for knowledge about American History.
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