First New Deal, 1933–34 When Roosevelt
took office on March 4, 1933, the economy had hit rock bottom. In the midst of the
Great Depression, a quarter of the American workforce was unemployed, two million people were homeless, and industrial production had fallen by more than half since 1929. By the evening of March 4, 32 of the 48 states – as well as the District of Columbia – had closed their banks. The New York Federal Reserve Bank was unable to open on the 5th, as huge sums had been withdrawn by panicky customers in previous days. Beginning with his inauguration address, Roosevelt laid the blame for the economic crisis on bankers and financiers, the quest for profit, and the self-interest basis of capitalism: Historians categorize Roosevelt's economic program into three categories: "relief, recovery and reform." Relief was urgently needed by tens of millions of unemployed. Recovery meant boosting the economy back to normal. Reform meant long-term fixes of what was wrong, especially with the financial and banking systems. Through Roosevelt's series of radio talks, known as
fireside chats, he presented his proposals directly to the American public. To propose programs, Roosevelt relied on leading senators such as
George Norris,
Robert F. Wagner, and Hugo Black, as well as his
Brain Trust of academic advisers. Like Hoover, he saw the Depression caused in part by people no longer spending or investing because they were afraid.
Banking reform Banking reform was the most urgent task facing the newly inaugurated administration. Thousands of smaller banks had failed or were on the verge of failing, and panicked depositors
sought to remove their savings from banks for fear that they would lose their deposits after a bank failure. In the months after Roosevelt's election, several governors declared bank holidays, temporarily closing banks so that their deposits could not be withdrawn. By the time Roosevelt took office, gubernatorial proclamations had closed the banks in 32 states; in the remaining states, many banks were closed and depositors were permitted to withdraw only five percent of their deposits. On March 5, Roosevelt declared a federal bank holiday, closing every bank in the nation. Though some questioned Roosevelt's constitutional authority to declare a bank holiday, his action received little immediate political resistance in light of the severity of the crisis. Working with the outgoing secretary of the treasury,
Ogden Mills, the Roosevelt administration spent the next few days putting together a bill designed to rescue the banking industry. When the special session of Congress that had been called by Roosevelt opened on March 9, Congress quickly passed Roosevelt's
Emergency Banking Act. Rather than nationalizing the financial industry, as some radicals hoped and many conservatives feared, the bill used federal assistance to stabilize privately owned banks. The ensuing "
First 100 Days" of the 73rd Congress saw an unprecedented amount of legislation and set a benchmark against which future presidents would be compared. When the banks reopened on Monday, March 13, stock prices rose by 15 percent and bank deposits exceeded withdrawals, thus ending the bank panic. In another measure designed to give Americans confidence in the financial system, Congress enacted the
Glass–Steagall Act, which curbed speculation by limiting the investments commercial banks could make and ending affiliations between commercial banks and securities firms. Depositors in open banks received insurance coverage from the new
Federal Deposit Insurance Corporation (FDIC), while depositors in permanently closed banks were eventually repaid 85 cents on the dollar. Roosevelt himself was dubious about insuring bank deposits, saying, "We do not wish to make the United States Government liable for the mistakes and errors of individual banks, and put a premium on unsound banking in the future." But public support was overwhelmingly in favor, and the number of bank failures dropped to near zero.
Relief for unemployed Relief for the unemployed was a major priority for the New Deal, and Roosevelt copied the programs he had initiated as governor of New York as well as the programs Hoover had started. The
Federal Emergency Relief Administration (FERA), the largest program from 1933 to 1935, involved giving money to localities to operate work relief projects to employ those on direct relief. FERA was led by Harry Hopkins, who had helmed a similar program under Roosevelt in New York. Another agency, the
Public Works Administration (PWA), was created to fund infrastructure projects, and was led by Secretary of the Interior
Harold Ickes, one of the most aggressive of the New Deal empire builders. Seeking to increase the federal role in providing work relief, Hopkins successfully pushed for the creation of the
Civil Works Administration (CWA), which would provide employment for anyone who was unemployed. In less than four months, the CWA hired four million people, and during its five months of operation, the CWA built and repaired 200 swimming pools, 3,700 playgrounds, 40,000 schools, of road, and 12 million feet of sewer pipe. The CWA was widely popular, but Roosevelt canceled it in March 1934 due to cost concerns and the fear of establishing a precedent that the government would serve as a permanent
employer of last resort. (1935) The most popular of all New Deal agencies – and Roosevelt's favorite– was the
Civilian Conservation Corps (CCC). The CCC hired 250,000 unemployed young men to work for six months on rural projects. It was directed by
Robert Fechner, a former union executive who promised labor unions that the enrollees would not be trained in skills that would compete with unemployed union members. Instead, they did unskilled construction labor, especially building roads and recreational facilities in state and national parks. Each CCC camp was administered by an Army reserve officer. Food, clothing, supplies, and medical and dental services were purchased locally. The young men who worked at CCC camps were paid a dollar a day, most of which went to their parents. Black enrollees were placed in their own camps, and the CCC operated an entirely separate division for Indians.
Agriculture Roosevelt placed a high emphasis on agricultural issues. Farmers made up thirty percent of the nation's workforce, and New Dealers hoped that an agricultural recovery would help stimulate the broader economy. Leadership of the farm programs of the New Deal lay with Secretary of Agriculture Henry Wallace, a dynamic, intellectual reformer. The persistent
farm crisis of the 1920s was further exacerbated by the onset of the Great Depression, and foreclosures were common among debt-ridden farms. Farmers were locked in a vicious cycle in which low prices encouraged individual farmers to engage in greater production, which in turn lowered prices by providing greater supply. The Hoover administration had created the
Federal Farm Board to help address the issue of overproduction by purchasing agricultural surpluses, but it failed to stabilize prices. In the 1930s, Midwestern farmers would additionally have to contend with a series of severe
dust storms known as the
Dust Bowl, provoking migration from the affected regions. The 1933
Agricultural Adjustment Act created the
Agricultural Adjustment Administration (AAA). The act reflected the demands of leaders of major farm organizations, especially the
Farm Bureau, and reflected debates among Roosevelt's farm advisers such as Wallace,
M.L. Wilson,
Rexford Tugwell, and
George Peek. The aim of the AAA was to raise prices for commodities through artificial scarcity. The AAA used a system of "domestic allotments", setting the total output of corn, cotton, dairy products, hogs, rice, tobacco, and wheat. The AAA paid land owners subsidies for leaving some of their land idle; funding for the subsidies was provided by a new tax on food processing. The goal was to force up farm prices to the point of "parity," an index based on 1910–1914 prices. To meet 1933 goals, of growing cotton was plowed up, bountiful crops were left to rot, and six million piglets were killed and discarded. Farm incomes increased significantly in the first three years of the New Deal, as prices for commodities rose. However, some
sharecroppers suffered under the new system, as some landowners pocketed the federal subsidies distributed for keeping lands fallow. . The AAA was the first federal agricultural program to operate on such a large scale, and it established a long-lasting federal role in the planning of the entire agricultural sector of the economy. In 1936, the Supreme Court declared the AAA to be unconstitutional for technical reasons. With the passage of the
Agricultural Adjustment Act of 1938, the AAA was replaced by a similar program that did win court approval. Instead of paying farmers for letting fields lie barren, the new program subsidized them for planting soil enriching hay crops such as
alfalfa that would not be sold on the market. Federal regulation of agricultural production has been modified many times since then, but the basic philosophy of subsidizing farmers remains in effect.
Rural relief Many rural families lived in severe poverty, especially in the South. Agencies such as the Resettlement Administration and its successor, the
Farm Security Administration (FSA), represented the first national programs to help migrants and marginal farmers, whose plight gained national attention through the 1939 novel and film
The Grapes of Wrath. New Deal leaders resisted demands of the poor for loans to buy farms, as many leaders thought that there were already too many farmers. The Roosevelt administration made a major effort to upgrade the health facilities available to a sickly population. The
Farm Credit Administration refinanced many mortgages, reducing the number of displaced farming families. In 1935, the administration created the
Rural Electrification Administration (REA), which built electric lines in rural areas providing electricity for the first time to millions. In the decade following the establishment of the REA, the share of farms with electricity went from under 20 percent to approximately 90 percent. Roosevelt appointed
John Collier to lead the
Bureau of Indian Affairs, and Collier presided over a shift in policy towards
Native Americans that de-emphasized
cultural assimilation. Native Americans worked in the CCC and other New Deal programs, including the newly formed
Soil Conservation Service. In 1933, the administration launched the
Tennessee Valley Authority (TVA), a project involving dam construction planning on an unprecedented scale in order to curb flooding, generate electricity, and modernize the very poor farms in the
Tennessee Valley region of the Southern United States. Under the leadership of
Arthur Ernest Morgan, the TVA built
planned communities such as
Norris, Tennessee that were designed to serve as models of cooperative, egalitarian living. Though the more ambitious experiments of the TVA generally failed to take hold, by 1940, the TVA had become the largest producer of electric power in the country. The Roosevelt administration also established the
Bonneville Power Authority, which performed similar functions to the TVA in the
Pacific Northwest, albeit on a smaller scale.
NRA for industry (NRA) poster The Roosevelt administration launched the
National Recovery Administration (NRA) as one of the two major programs designed to restore economic prosperity, along with the AAA. The NRA was established by the
National Industrial Recovery Act (NIRA) of 1933, and was designed to implement reforms in the industrial sector. The framers of the NRA were heavily influenced by the work of
Charles R. Van Hise, a Progressive academic who saw
trusts as an inevitable feature of an industrialized society. Rather than advocating for
antitrust laws designed to prevent the growth of trusts, Hise had favored the creation of governmental organizations charged with regulating trusts. The NRA tried to end cutthroat competition by forcing industries to come up with codes that established the rules of operation for all firms within specific industries, such as minimum prices, minimum wages, agreements not to compete, and production restrictions. Industry leaders negotiated the codes with the approval and guidance of NIRA officials. Other provisions encouraged the formation of unions and suspended anti-trust laws. Roosevelt appointed
Hugh S. Johnson as the head of the NRA, based on his experience in directing the national economy in World War I. Johnson used the NRA to curb industrial overproduction and excessive competition through price cutting. He sought to keep wages high. The NRA won the pledges of two million businesses to create and follow NRA codes, and
Blue Eagle symbols, which indicated that a company cooperated with the NRA, became ubiquitous. The NRA targeted ten essential industries deemed crucial to an economic recovery, starting with textile industry and next turning to coal, oil, steel, automobiles, and lumber. Though unwilling to dictate the codes to industries, the administration pressured companies to agree to the codes and urged consumers to purchase products from companies in compliance with the codes. As each NRA code was unique to a specific industry, NRA negotiators held a great deal of sway in setting the details of the codes, and many of the codes favored managers over workers. The NRA became increasingly unpopular among the general public due to its micromanagement, and many within the administration began to view it as ineffective. The Supreme Court found the NRA to be unconstitutional by unanimous decision in May 1935, and there was little public protest at its closing. To replace the regulatory role of the NRA, the New Deal established or strengthened several durable agencies designed to regulate specific industries. In 1934, Congress established the
Federal Communications Commission, which provided regulation to telephones and radio. The
Civil Aeronautics Board was established in 1938 to regulate the fast-growing
commercial aviation industry, while in 1935 the authority of the
Interstate Commerce Commission was extended to the
trucking industry. The
Federal Trade Commission also received new duties.
Monetary policy The Agricultural Adjustment Act included the Thomas Amendment, a provision that allowed the president to reduce the gold content of the dollar, to coin silver dollars, and issue $3 billion in
fiat money not backed by gold or silver. In April 1933, Roosevelt took the United States off the
gold standard. Going off the gold standard allowed Roosevelt to pursue inflationary policies, to overcome the sharp fall in prices that hurt the economy. Inflation would reduce the effective size of public and private debt. As part of his inflationary policies, Roosevelt refused to take part in efforts at the
London Economic Conference to stabilize currency exchange rates. Roosevelt's "bombshell" message to that conference effectively ended any major efforts by the world powers to collaborate on ending the worldwide depression, and allowed Roosevelt a free hand in economic policy. Though Roosevelt was willing to negotiate regarding tariffs, he refused to accept a
fixed exchange-rate system or to reduce European debts incurred during
World War I. In October 1933, the Roosevelt administration began a policy of buying gold in the hopes that such purchases would lead to inflation. The program was strongly criticized by observers like Keynes, as well as
hard money administration officials such as
Dean Acheson, but it did appease many in rural communities. In 1935, Congress passed the
Banking Act of 1935, which brought the
Federal Open Market Committee under the direct control of the
Federal Reserve Board of Governors, thereby increasing the Federal Reserve's ability to control the money supply and respond to business cycles.
Securities regulation The
Securities Exchange Act of 1934 established the independent
Securities and Exchange Commission to end irresponsible market manipulations and the dissemination of false information about securities. Roosevelt named
Joseph P. Kennedy, a famously successful speculator himself, to head the SEC and clean up Wall Street. Kennedy appointed a hard-driving team with a mission for reform that included
William O. Douglas, and
Abe Fortas, both of whom were later named to the Supreme Court. The SEC had four missions. First and most important was to restore investor confidence in the securities market, which had practically collapsed because of doubts about its internal integrity, and the external threats supposedly posed by anti-business elements in the Roosevelt administration. Second, in terms of integrity, the SEC had to get rid of the penny ante swindles based on false information, fraudulent devices, and unsound get-rich-quick schemes. Thirdly, and much more important than the frauds, the SEC had to end the million-dollar insider maneuvers in major corporations, whereby insiders with access to information about the condition of the company knew when to buy or sell their own securities. Finally, the SEC had to set up a complex system of registration for all securities sold in America, with a clear-cut set of rules and guidelines that everyone had to follow. By mandating the disclosure of business information and allowing investors to make informed decisions, the SEC largely succeed in its goal of restoring investor confidence. As part of the first hundred days, Roosevelt fostered the passage of the
Securities Act of 1933. The act expanded the powers of the
Federal Trade Commission and required companies issuing securities to disclose information regarding the securities they issued. Another major securities law, the
Public Utility Holding Company Act of 1935, broke up large public utility
holding companies. The law arose from concerns that the holding companies had used elaborate measures to extract profits from subsidiary utility companies while taking advantage of customers.
Housing House construction was widely seen as a potential component of an economic recovery. Though Keynes and Senator Wagner both favored large-scale public housing projects, the Roosevelt administration prioritized programs designed to boost private
home-ownership. In 1933, Roosevelt established the
Home Owners' Loan Corporation, which helped prevent mortgage
foreclosures by offering
refinancing programs. The
Federal Housing Administration, established in 1934, set national home construction standards and provided insurance to long-term home mortgages. Another New Deal institution,
Fannie Mae, made home lending more appealing to lenders by helping to provide for the
securitization of
mortgages, thereby allowing mortgages to be sold on the
secondary mortgage market. The housing institutions established under the New Deal did not appreciably contribute to new house building in the 1930s, but they played a major role in the post-war housing boom.
Ending prohibition Roosevelt had generally avoided the
Prohibition issue, but when his party and the general public swung against Prohibition in 1932, he campaigned for repeal. During the Hundred Days he signed the
Cullen–Harrison Act redefining weak beer (3.2% alcohol) as the maximum allowed. The
21st Amendment was ratified later that year; he was not involved in the amendment but was given much of the credit. The repeal of prohibition brought in new tax revenues to federal, state and local governments and helped Roosevelt keep a campaign promise that attracted widespread popular support. It also weakened the big-city criminal gangs and rural bootleggers who had profited heavily from illegal liquor sales.
Second New Deal, 1935–36 The "Second New Deal" is the designation historians use for the dramatic domestic policies passed during the last two years of Roosevelt's first term. Unlike his efforts in the first two years to be inclusive of all established interest groups, Roosevelt moved left and focused on helping labor unions, poor farmers, and the unemployed. He energetically battled growing opposition from conservatives, business and banking interests.
WPA By 1935, the economy was 21% bigger than its nadir, but the real
gross national product was still 11% below the apex reached in 1929. It finally caught up and passed 1929 during 1936. Unemployment remained a major problem at 20%. However farm incomes were recovering. With the economy still in depression, and following Democratic triumphs in the 1934 mid-term elections, Roosevelt proposed the "
Second New Deal." It consisted of government programs that were designed to help provide not just recovery, but also long-term stability and security for ordinary Americans. In April 1935, Roosevelt won passage of the
Emergency Relief Appropriation Act of 1935, which, unlike the work relief programs of 1933, allowed for a long-term role for the government as the employer of last resort. Roosevelt, among others, feared that the private sector would never again be able to provide
full employment on its own. The major program created by the Emergency Relief Appropriation Act was the
Works Progress Administration (WPA), led by Harry Hopkins. The WPA financed a variety of projects such as hospitals, schools, and roads, and employed more than 8.5 million workers who built 650,000 miles of highways and roads, 125,000 public buildings, as well as bridges, reservoirs, irrigation systems, and other projects. Ickes's PWA continued to function, but the WPA became the primary New Deal work relief program, and FERA was discontinued. Though nominally charged only with undertaking construction projects that cost over $25,000, the WPA provided grants for other programs, such as the
Federal Writers' Project. Like the CWA and the CCC, the WPA typically was based on collaboration with local government, which provided the plans, the site, and the heavy equipment, while the federal government provided the labor. Building new recreational facilities in public parks fit the model, and tens of thousands of recreation and sports facilities were built in both rural and urban areas. These projects had the main goal of providing jobs for the unemployed, but they also played to a widespread demand at the time for bodily fitness and the need of recreation in a healthy society. Roosevelt was a strong supporter of the recreation and sports dimension of his programs. The WPA spent $941 million on recreational facilities, including 5,900 athletic fields and playgrounds, 770 swimming pools 1,700 parks and 8,300 recreational buildings.
National Youth Administration The
National Youth Administration (NYA) was a semi-autonomous unit within the WPA. It worked closely with high schools and colleges to set up work-study programs. Under the leadership of
Aubrey Williams, the NYA developed apprenticeship programs and residential camps specializing in teaching vocational skills. It was one of the first agencies that made an explicit effort to enroll black students. The NYA work-study program reached up to 500,000 students per month in high schools, colleges, and graduate schools.
Social Security The United States was the lone modern industrial country where people faced the Depression without any national system of social security, though a handful of states had poorly funded old-age insurance programs. The federal government had provided pensions to veterans in the aftermath of the Civil War and other wars, and some states had established voluntary old-age pension systems, but otherwise the United States had little experience with
social insurance programs. For most American workers,
retirement due to old age was not a realistic option. In the 1930s, physician
Francis Townsend galvanized support for his pension proposal, which called for the federal government to issue direct $200-a-month payments to the elderly. Roosevelt was attracted to the general thinking behind Townsend's plan because it would provide for those no longer capable of working while at the same time stimulating demand in the economy and decreasing the supply of labor. In 1934, Roosevelt charged the Committee on Economic Security, chaired by Secretary of Labor Perkins, with developing an old-age pension program, an
unemployment insurance system, and a
national health care program. The proposal for a national health care system was dropped, but the committee developed an unemployment insurance program largely administered by the states. The committee also developed an old-age plan that, at Roosevelt's insistence, would be funded by individual contributions from workers. In January 1935, Roosevelt proposed the
Social Security Act, which he presented as a more practical alternative to the Townsend Plan. After a series of congressional hearings, the Social Security Act became law in August 1935. During the congressional debate over Social Security, the program was expanded to provide payments to widows and dependents of Social Security recipients. Job categories that were not covered by the act included workers in agricultural labor, domestic service, government employees, and many teachers, nurses, hospital employees, librarians, and social workers. The program was funded through a newly established a payroll tax which later became known as the
Federal Insurance Contributions Act tax. Social Security taxes would be collected from employers by the states, with employers and employees contributing equally to the tax. Because the Social Security tax was
regressive, and Social Security benefits were based on how much each individual had paid into the system, the program would not contribute to income redistribution in the way that some reformers, including Perkins, had hoped. In addition to creating the Social Security program, the Social Security Act also established a state-administered unemployment insurance system and the
Aid to Dependent Children program, which provided aid to families headed by single mothers. Compared with the social security systems in western European countries, the Social Security Act of 1935 was rather conservative. But for the first time the federal government took responsibility for the economic security of the aged, the temporarily unemployed, dependent children and the handicapped. Reflecting the continuing importance of the Social Security Act, biographer
Kenneth S. Davis later called the Social Security Act "the most important single piece of social legislation in all American history." Though the Committee on Economic Security had originally sought to develop a national health care system, the Social Security Act ultimately included only relatively small health care grants designed to help rural communities and the disabled. Roosevelt declined to include a large-scale health insurance program largely because of the lack of active popular, congressional, or interest group support for such a program. Roosevelt's strategy was to wait for demand for a program to materialize, and then, if he thought it popular enough, to throw his support behind it. Jaap Kooijman writes that Roosevelt succeeded in "pacifying the opponents without discouraging the reformers." During World War II, a group of congressmen introduced the
Wagner-Murray-Dingell Bill, which would provide federally funded
universal health care. Roosevelt never endorsed it, and with conservatives in control of Congress, it stood little chance of passage. Health insurance would be proposed in Truman's
Fair Deal, but it was defeated.
Labor unions and the NLRB The
National Labor Relations Act (NLRB) of 1935, also known as the
Wagner Act, guaranteed workers the right to
collective bargaining through unions of their own choice. It prohibited
unfair labor practices such as discrimination against union members. The act also established the
National Labor Relations Board (NLRB) to facilitate wage agreements and to suppress labor disturbances. The Wagner Act did not compel employers to reach agreement with their employees, but, together with the
Norris–La Guardia Act of 1932, its passage left labor unions in a favorable legal and political environment. Other factors, including popular works that depicted the struggles of the working class, declining ethnic rivalries, and the
La Follette Committee's investigation of anti-labor abuses, further swung the public mood in favor of labor. The result was a tremendous growth of membership in the labor unions, especially in the mass-production sector. When the
Flint sit-down strike threatened the production of
General Motors, Roosevelt broke with the precedent set by many former presidents and refused to intervene; the strike ultimately led to the unionization of both General Motors and its rivals in the American automobile industry. In the aftermath of the Flint sit-down strike,
U.S. Steel granted recognition to the
Steel Workers Organizing Committee. The total number of labor union members grew from three million in 1933 to eight million at the end of the 1930s, with the vast majority of union members living outside of the South.
Other domestic policies Fiscal policy Roosevelt argued that the emergency spending programs for relief were temporary, and he rejected the deficit spending proposed by economists such as
John Maynard Keynes. He kept his campaign promise to cut the regular federal budget — including a reduction in military spending from $752 million in 1932 to $531 million in 1934. He made a 40% cut in spending on veterans' benefits by removing 500,000 veterans and widows from the pension rolls and reducing benefits for the remainder, as well as cutting the salaries of federal employees and reducing spending on research and education. The veterans were well organized and strongly protested, and most benefits were restored or increased by 1934. In June 1933, Roosevelt restored $50 million in pension payments, and Congress added another $46 million more. Veterans groups such as the
American Legion and the
Veterans of Foreign Wars also won their campaign to transform their benefits from payments due in 1945 to immediate cash when Congress overrode the president's veto and passed the
Bonus Act in January 1936. The Bonus Act pumped sums equal to 2% of the GDP into the consumer economy and had a major stimulus effect. Government spending increased from 8.0% of gross national product (GNP) under Hoover in 1932 to 10.2% of the GNP in 1936. In mid-1935, Roosevelt began to prioritize a major reform of the tax code. He sought higher taxes on top incomes, a higher
estate tax, a graduated
corporate tax, and the implementation of a tax on intercorporate dividends. In response, Congress passed the
Revenue Act of 1935, which raised relatively little revenue but did increase taxes on the highest earners. A top tax rate of 79% was set for income above $5 million; in 1935, just one individual,
John D. Rockefeller, paid the top tax rate. In early 1936, following the passage of the Bonus Act, Roosevelt again sought to increase taxes on corporate profits. Congress passed a bill that raised less revenue that Roosevelt's proposals, but did impose an
undistributed profits tax on corporate earnings.
Conservation and the environment Roosevelt had a lifelong interest in the environment and conservation starting with his youthful interest in forestry on his family estate. Although FDR was never an outdoorsman or sportsman on TR's scale, his growth of the national systems were comparable. FDR created 140 national wildlife refuges (especially for birds) and established 29 national forests and 29 national parks and monuments, including
Everglades National Park and
Olympic National Park. His environmental policy can be divided into three major domains. First of all his focus was on a few issues that had long concerned environmentalists: clean air and water, land management, preservation of forest lands, protection of wildlife, conservation of natural resources, and the creation of national parks and monuments. Second, he created permanent institutional structures with environmental missions, including permanent institutions like the
Tennessee Valley Authority and temporary operations such as the CCC. Finally, Roosevelt was a superb communicator with the people, and with Congress, using speeches and especially highly publicized trips visiting key conservation locales. Roosevelt's favorite agency, the CCC, expended most of its effort on environmental projects. In the dozen years after its creation, the CCC built 13,000 miles of trails, planted two billion trees, and upgraded 125,000 miles of dirt roads. Every state had its own state parks, and Roosevelt made sure that WPA and CCC projects were set up to upgrade them as well as the national systems. Roosevelt was particularly supportive of water management projects, which could provide
hydroelectricity, improve river navigation, and supply water for irrigation. His administration initiated the construction of numerous dams located in the South and the West. Although proposals to replicate the Tennessee Valley Authority in the Pacific Northwest were not acted upon, the administration completed the
All-American Canal and launched the
Central Valley Project, both of which irrigated dramatically increased agricultural production in California's
Central Valley. Roosevelt also presided over the establishment of conservation programs and laws such as the Soil Conservation Service, the
Great Plains Shelterbelt, and the
Taylor Grazing Act of 1934. Throughout his first two terms there was a fierce turf battle over control of the
United States Forest Service, which Agriculture Secretary Henry Wallace insisted on keeping, but Interior Secretary Harold Ickes wanted so he could merge it with the
National Park Service. The Brownlow Committee report on administrative management convinced Roosevelt to propose the creation of a new Department of Conservation to replace the Department of the Interior; the new department that would include the Forest Service. For Ickes, the land itself had a higher purpose than mere human usage; Wallace wanted the optimum economic productivity of public lands. Both Interior and Agriculture had very strong supporters in Congress, and Roosevelt's plan went nowhere. The status quo triumphed.
Education The New Deal approach to education was a radical departure from previous practices. It was specifically designed for the poor and staffed largely by women on relief. It was not based on professionalism, nor was it designed by experts. Instead it was premised on the anti-elitist notion that a good teacher does not need paper credentials, that learning does not need a formal classroom and that the highest priority should go to the bottom tier of society. Leaders in the public schools were shocked: they were shut out as consultants and as recipients of New Deal funding. They desperately needed cash to cover the local and state revenues that it disappeared during the depression, they were well organized, and made repeated concerted efforts in 1934, 1937, and 1939, all to no avail. The federal government had a highly professional Office of Education; Roosevelt cut its budget and staff, and refused to consult with its leader
John Ward Studebaker. The CCC programs were deliberately designed not teach skills that would put them in competition with unemployed union members. The CCC did have its own classes. They were voluntary, took place after work, and focused on teaching basic literacy to young men who had dropped out before entering high school. The NYA set up its own high schools independent of the locally controlled public schools. The relief programs did offer indirect help to public schools. The CWA and FERA focused on hiring unemployed people on relief, and putting them to work on public buildings, including public schools. It built or upgraded 40,000 schools, plus thousands of playgrounds and athletic fields. It gave jobs to 50,000 teachers to keep rural schools open and to teach adult education classes in the cities. It gave a temporary jobs to unemployed teachers in cities like Boston. Although New Deal leaders refused to give money to impoverished school districts, it did give money to impoverished high school and college students. The CWA used "work study" programs to fund students, both male and female.
Women Women received recognition from the Roosevelt administration. In relief programs, they were eligible for jobs if they were the breadwinner in the family. During the 1930s there was a strong national consensus that in times of job shortages, it was wrong for the government to employ both a husband and his wife. Nevertheless, relief agencies did find jobs for women, and the WPA employed about 500,000. The largest number, 295,000, worked on sewing projects, producing 300 million items of clothing and mattresses for people on relief and for public institutions such as orphanages. Many other women worked in school lunch programs. Between 1929 and 1939, the percentage of female government employees increased from 14.3 percent to 18.8 percent, and women made up nearly half of the workforce of the WPA. From 1930 to 1940, the number of employed women rose 24 percent from 10.5 million to 13 million. Few women worked in the high-unemployment sectors like mining and heavy industry. They worked in clerical jobs or light factories (such as food). Roosevelt appointed more women to office than any previous president. The very first woman in the cabinet was Secretary of Labor Frances Perkins. First Lady Eleanor Roosevelt played a highly visible role in building a network of women in advisory roles and in promoting relief programs. The New Deal thereby placed more women in public life—a record that stood until the 1960s. In 1941 Mrs. Roosevelt became co-head of the
Office of Civil Defense, the major civil defense agency. She tried to involve women at the local level, but she feuded with her counterpart, Mayor
Fiorello H. La Guardia, and had little impact on policy. Historian Alan Brinkley states that gender equality was not on the national agenda: :Nor did the New Deal make much more than a symbolic effort to address problems of gender equality....New Deal programs (even those designed by New Deal women) continued most mostly to reflect traditional assumptions about women's roles and made few gestures toward the aspirations of women who sought economic independence and professional opportunities. The interest in individual and group rights that became so central to the postwar liberalism... was faint, and at times almost invisible, within the New Deal itself. ==Second term "Curse" ==