New Deal Opposition and the Second New Deal

Opposition to the New Deal

Not Enough Help: Many Americans felt the New Deal was not doing enough to help the poor, especially African Americans and those in farming areas who remained desperately poor.

  • Huey Long

    Huey Long, Governor of Louisiana and Senator in 1932, used his power to help the poor by:

    • Taxing big corporations and businesses in Louisiana, using the money to build roads, schools, and hospitals.
    • Employing African Americans on the same terms as whites.
    • Clashing with the Ku Klux Klan.

    He initially supported the New Deal but criticized it in 1934 for being too complicated. He was assassinated in 1935.

  • A Catholic priest used his radio program to attack Roosevelt. He established the National Union for Social Justice, which gained a large membership.

Too Much Government Intervention: Others argued there were too many codes and regulations. Their arguments included:

  • The government shouldn’t support trade unions or calls for higher wages.
  • The Tennessee Valley Authority (TVA) created unfair competition for private companies.
  • Roosevelt was behaving like a dictator.
  • High taxes discouraged hard work and gave money to people for doing nothing.

Supreme Court Challenges

The Supreme Court, dominated by Republicans, could overturn laws deemed unconstitutional. In the case of the Schechter Poultry Corporation, which was found guilty of breaking National Recovery Administration (NRA) regulations by selling diseased chickens, the Court ruled that the government had no right to prosecute. It declared the NRA unconstitutional for undermining the power of local states. Roosevelt’s subsequent attempt to appoint six more Supreme Court judges sympathetic to the New Deal was seen as an attack on the American system of government.

The Second New Deal

By 1935, facing criticism and slower-than-expected economic recovery, Roosevelt, influenced by a group of senators, introduced radical new measures known as the Second New Deal. These laws aimed to improve the lives of ordinary people.

  • Wagner Act

    Forced employers to allow trade unions in their companies and to negotiate wages and conditions. It made it illegal to fire workers for being in a union.

  • Social Security Act

    Provided state pensions for the elderly and widows, and aid for the sick and disabled. It also established an unemployment insurance program where employers and workers contributed to a fund, providing support for the unemployed.

  • Works Progress Administration (WPA)

    Consolidated organizations aimed at creating jobs, extending beyond construction to include jobs for office workers, actors, artists, and photographers. Artists were commissioned to create public art.

  • Resettlement Administration (RA)

    Relocated farm families to better-quality land and housing.

    • Farm Security Administration (FSA)

      Replaced the RA in 1937. It provided loans to small farmers, built camps for migrant workers, and offered decent living conditions.