16D: New Deal Opponents (Critics)

The New Deal was divided into three parts including relief, reform, and recovery.

Relief legislation

• Federal Emergency Relief Act

• Civilian Conservation Corps (CCC)

• Public Works Administration (PWA)

• Works Progress Administration (WPA)

Recovery measures during the New Deal

• National Recovery Administration (NRA)

• Agricultural Adjustment Acts (AAA)

Reform legislation

• Tennessee Valley Authority (TVA)

• Securities and Exchange Commission (SEC)

• Social Security Act

• FDIC (Federal Deposit Insurance Corp.)

FDR

• Introduced higher taxes on the rich.  He believed that if it was “good” for business, then it was good for America.

Opponents of the New Deal

• Believed that FDR was too generous to the corporate interests.  Some wanted to confiscate any personal fortune over $3 million and use this money to give each family in America.

• Huey Long, Townsend, and Coughlin promised a national minimum wage, old age pension, and cheap food for the poor.

• Huey Long’s “Share our Wealth” speech advocated that income disparity could be overcome and by equally distributing wealth, the U.S. could be pulled out of the Great Depression.

• Hoover’s approach was limited in how far the federal government would be involved due to constitutional restraints while FDR was willing to go beyond constitutional constraints to help the economy.  

  • The Reconstruction Finance Corporation was one option proposed by Hoover to protect the economy through government intervention into private business.