Wednesday, October 21, 2009

The Dangerous Neighborhood of the 1930s

There is no mistaking that the collective programs of FDR's New Deal reshaped the way Americans related to their government. The underlying principles of the New Deal remain central today to the debate over government's role in the everyday lives of Americans.

Some programs of the New Deal had lasting positive effects, while others had unintended consequences, both good and bad, while still more unambiguously hurt people. Whatever their impact, they were definitely "New" if not always a "Deal." We will be looking at several case studies regarding the impact of New Deal Legislation:

The Agricultural Adjustment Act (or AAA) was both successful and unsuccessful in achieving its aims. In the process it benefited some while hurt others.  Its administration was also some measure of the strength of the Solid Democratic South's power in New Deal legislation.

The Works Progress Administration employed thousands of unemployed writers, scholars, and artists to produce works in the general interest. This included everything from microfilming the Compiled Service Records of Union and Confederate Soldiers to the memorable WPA Murals and WPA Slave Narratives.

Perhaps one of the greatest successes of the New Deal was its impact on stabilizing America's banking and investment sector. The Federal Deposit Insurance Corporation (FDIC) and the Securities and Exchange Commission (SEC) established standards that lent a great deal of conservatism to the financial sector's behavior.

Today, we still debate the utility of some New Deal programs such as public housing. New Orleans's Iberville Housing Development was a New Deal Era concept, built on what was once Storyville in the 1940s. Under the segregated terms of the time, the Iberville was white, while the nearby Lafitte projects were black. Recent redevelopments like Rivergardens on the site of the old St. Thomas Projects points one possible direction for the future of the Iberville housing project.

But what of alternatives to the New Deal?

Your textbook talks of FDR's rivals, and there were many on both the right and the left.  Probably the most credible threat in the United States came from Huey Pierce Long and his Share Our Wealth programs. With millions of members willing to contribute to Long's corrupt programs, it makes one wonder at the potential of alternatives to the New Deal.

From an international perspective, we see Europe respond to economic crisis quite differently. Under the leadership of Benito Mussolini, we will see the emergence of Fascism. Under Adolph Hitler's National Socialism, Germany makes a remarkable recovery and attracts the admiration of many Americans.  Meanwhile, the Soviets will suffer under the successive 5-year plans of Stalin.

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