Chapter 15 Section 1I. Civil Works Programs created to

give unemployed people jobs- 1932 – FDR beats Hoover handily and Democrats gain majority in House

and Senate as well.- Roosevelt and his brain trust

come up with the “New Deal” to deal with the problems of the depression

- New Deal 1) Aide for the needy 2) Economic Recovery 3) Financial Reform

- Fed. Gov. role was expanded in Economy

- Closed all banks Government inspected, banks in good shape could open. Banks not in good shape had to stay closed

- This restored Americans faith in banking system. - FDR talks on radio about New Deal and made

Americans feel as if FDR was talking directly to them. - FDR explained that banks will invest your money

and only keep what is needed in currency - He explained that when too many people want

savings in cash banks will fail and that this is not a weakness of the banks, just how it works.

- Many people put their money back in banks.

Chapter 5 Section 1

- Glass Steagall Act of 1933- Established FDIC (Federal Deposit Insurance Corp.)

- FDIC- Gave banks federal insurance for individual bank accounts up to $5000

- Federal Securities Act – Made businesses give truthful information so investors could make good decisions

- Prevented people from rigging stock market for their own profit

- Passed 21st Amendment by end of 1933 repealing prohibition

- Government would tax alcohol

Chapter 15 Section

- Agricultural Adjustment Act- Government payed farmers to leave some land unseeded

- Less crops would raise prices of the crops helping farmers

- People protested the destruction of food when there were so many Americans going hungry

Chapter 15 Section 1

New Deal-Started works projects-gave people jobs - Civilian Conservation Corp. (CCC) put 18 to 25 year

old men to work building roads, developing parks etc… - Did not pay well, but gave free food, uniforms and

lodging in work camps - $30 month, $25 sent home to family - Public Works Administration (PWA)-Put people to

work building schools and other community buildings - Civil Works Administration (Est. 1933) provided 4

million jobs between 1933 and 1934 - Built 40,000 schools and paid salaries of 50,000

school teachers in rural areas - Built half a million miles of roads

Chapter 15 Section 1

- Home Owners Loan Corporation (HOLC) – Gov. gave people loans to help them pay for their house.

- 1934 National Housing Act – Further aide for people and their homes.

- Deficit Spending – Spending more than you bring in.

- FDR knew Government was going to have to do this

Chapter 15 Section 1

Chapter 15 Section 1 Quiz• 1.) What was created to give unemployed

people jobs?• a.) The New Deal• b.) The Great Compromise• c.) Social Security

• 2.) Who beat Hoover in the 1932 Presidential Election?

• a.) Franklin D. Roosevelt• b.) Theodore Roosevelt• c.) John F. Kennedy

• 3.) Name one thing the New Deal was going to do?

• a.) Give aide for the rich• b.) Give aide for the needy• c.) Increased taxes on exports to help American

businesses

• 4.) Name one thing the New Deal was going to do?

• a.) Help with economic recovery• b.) Prevent World War II• c.) End World War 1

• 5.) Name one thing the New Deal was going to do?

• a.) Aide with Indian Removal• Give land to anyone moving west• c.) Financial Reform

• 6.) What did FDR do to the banks?• a.) He re-opened all of them to restore faith of

American public• b.) He closed all banks and only allowed good

banks to re open• c.) He abolished the concept of banks and told

people to keep their own money

• 7.) What do banks do with your money when you deposit it?

• a.) They invest it• b.) They spend it to keep the economy strong• c.) They keep all of it in a safe at the back of the

bank

• 8.) How much money or currency do banks keep?

• a.) Enough to meet normal demands• b.) All money that has been deposited• c.) Usually none in the main office in case they

get robbed

• 9.) What would happen if everybody tried to withdraw their money from banks?

• a.) The banks would flourish• b.) The banks would be able to invest your

money easier• c.) The banks would fail

• 10.) What act created the FDIC?• a.) Bank Security Act• b.) Bank Deposit Act• c.) Glass Steagall Act

Chapter 15 Section 1 Quiz con’t.• 11.) What did the FDIC do?• a.) It insured individual bank accounts through the

Federal Government• b.) It insured individual bank accounts by allowing the

rich to loan the poor money.• c.) It insured your investments in the stock market

• 12.) What amendment ended the prohibition of alcohol?• a.) 18st • b.) 21st• c.) 19th

• 13.) What did government give incentives to farmers for?• a.) Planting more crops• b.) Planting less crops• c.) Continuing the same production of crops

• 14.) What kind of incentives did the government give farmers?

• a.) The Fed. Gov. gave farmers money for leaving parts of their land unseeded.

• b.) The Fed. Gov. gave farmers money for growing crops on all of their land

• c.) The Fed. Gov. fined farmers for not growing crops on all of their land

• 15.) Why did the public not like the idea of farmers not growing as much?

• a.) People going hungry and they thought it did not make sense to destroy food when there were people that were starving.

• b.) Most people lived in big cities and did not feel as if farming was important.

• c.) They wanted to make sure farmers had plenty of food

• 16.) Name the government program that gave people jobs building civic projects?

• a.) New Projects Plan• b.) Square Deal• c.) New Deal

• 17.) Which program put 18 to 25 year olds to work building roads?

• a.) Civilian Conservation Corp.• b.) Road project plan• c.) Square Deal

• 18.) How did the New Deal projects pay?• a.) Good • b.) Bad• c.) It paid with good and services and not money

• 19.) How much did each person make?• a.) 30 dollars a month• b.) 30 dollars a year• c.) 3 dollars a month

• 20.) Which program built schools and community buildings?

• a.) Public Works Administration• b.) School Building Association• c.) Social Security Administration

Chapter 15 Section 1 Con’t. • 21.) What administration provided 4 million jobs between 1933 and 1934?• a.) Hoover administration• b.) Civil Works Administration• c.) Social Security Administration

• 22.) How many salaries of school teachers were paid due to the Civil Works Administration?• a.) about 50,000• b.) about 5000• c.) None

• 23.) How many miles of road were built due to the Civil Works Administration?• a.) ½ a million• b.) 2 million• c.) Roads were not part of the project

• 24.) What corporation gave people loans to help with their mortgages?• a.) Home Owners Loan Corporation• b.) Mortgage Lending Corporation• c.) Chase Lending Corporation

• 25.) What is it called when you spend more than you bring in?• a.) Deficit spending• b.) Cautionary spending• c.) Budget Spending