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Article

Wendy L. Wall

The New Deal generally refers to a set of domestic policies implemented by the administration of Franklin Delano Roosevelt in response to the crisis of the Great Depression. Propelled by that economic cataclysm, Roosevelt and his New Dealers pushed through legislation that regulated the banking and securities industries, provided relief for the unemployed, aided farmers, electrified rural areas, promoted conservation, built national infrastructure, regulated wages and hours, and bolstered the power of unions. The Tennessee Valley Authority prevented floods and brought electricity and economic progress to seven states in one of the most impoverished parts of the nation. The Works Progress Administration offered jobs to millions of unemployed Americans and launched an unprecedented federal venture into the arena of culture. By providing social insurance to the elderly and unemployed, the Social Security Act laid the foundation for the U.S. welfare state. The benefits of the New Deal were not equitably distributed. Many New Deal programs—farm subsidies, work relief projects, social insurance, and labor protection programs—discriminated against racial minorities and women, while profiting white men disproportionately. Nevertheless, women achieved symbolic breakthroughs, and African Americans benefited more from Roosevelt’s policies than they had from any past administration since Abraham Lincoln’s. The New Deal did not end the Depression—only World War II did that—but it did spur economic recovery. It also helped to make American capitalism less volatile by extending federal regulation into new areas of the economy. Although the New Deal most often refers to policies and programs put in place between 1933 and 1938, some scholars have used the term more expansively to encompass later domestic legislation or U.S. actions abroad that seemed animated by the same values and impulses—above all, a desire to make individuals more secure and a belief in institutional solutions to long-standing problems. In order to pass his legislative agenda, Roosevelt drew many Catholic and Jewish immigrants, industrial workers, and African Americans into the Democratic Party. Together with white Southerners, these groups formed what became known as the “New Deal coalition.” This unlikely political alliance endured long after Roosevelt’s death, supporting the Democratic Party and a “liberal” agenda for nearly half a century. When the coalition finally cracked in 1980, historians looked back on this extended epoch as reflecting a “New Deal order.”

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The decades from the 1890s into the 1920s produced reform movements in the United States that resulted in significant changes to the country’s social, political, cultural, and economic institutions. The impulse for reform emanated from a pervasive sense that the country’s democratic promise was failing. Political corruption seemed endemic at all levels of government. An unregulated capitalist industrial economy exploited workers and threatened to create a serious class divide, especially as the legal system protected the rights of business over labor. Mass urbanization was shifting the country from a rural, agricultural society to an urban, industrial one characterized by poverty, disease, crime, and cultural clash. Rapid technological advancements brought new, and often frightening, changes into daily life that left many people feeling that they had little control over their lives. Movements for socialism, woman suffrage, and rights for African Americans, immigrants, and workers belied the rhetoric of the United States as a just and equal democratic society for all its members. Responding to the challenges presented by these problems, and fearful that without substantial change the country might experience class upheaval, groups of Americans proposed undertaking significant reforms. Underlying all proposed reforms was a desire to bring more justice and equality into a society that seemed increasingly to lack these ideals. Yet there was no agreement among these groups about the exact threat that confronted the nation, the means to resolve problems, or how to implement reforms. Despite this lack of agreement, all so-called Progressive reformers were modernizers. They sought to make the country’s democratic promise a reality by confronting its flaws and seeking solutions. All Progressivisms were seeking a via media, a middle way between relying on older ideas of 19th-century liberal capitalism and the more radical proposals to reform society through either social democracy or socialism. Despite differences among Progressives, the types of Progressivisms put forth, and the successes and failures of Progressivism, this reform era raised into national discourse debates over the nature and meaning of democracy, how and for whom a democratic society should work, and what it meant to be a forward-looking society. It also led to the implementation of an activist state.