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Swampyville's - FDR's First New Deal!
Franklin Delano Roosevelt was "Born to the Manor" on his Family's Pantation! He was provided everything he ever wanted! There are two types of Plantation Owners, malevolent or benevolent. The malevolent owner physically and mentally abuses his slaves, while the benevolent owner takes care of his slaves by providing them with food, clothing and shelter. By doing so, the benevolent plantation owner's slaves are not apt to run away and they are a lot more contented (dependent upon him for all their needs). As a member of the Plantation Owner's Association (Fictional), FDR was elected to be their representative in 1932.
Ask the Politically Correct!
What was FDR's First New Deal during the Great Depression?
Politically Correct Resolution:
The "First" New Deal (1933-35) aimed at restoring the economy from the "top down" (trickle down - hmmm, sounds familiar) (History 1302)
FDR remained vague while running for President in 1931. He promised if he was elected, that under his presidency, government would act decisively to end the depression. Once he was elected, he said yes to every plan Wall Street came up with. The Congress approved every proposal that FDR presented to them.
The Agricultural Adjustment Act (AAA), passed in
1933, accepted the long-held premise that low farm
prices resulted from overproduction. Thus, the
government sought to stimulate increased farm prices
by paying farmers to produce less. While the original
AAA was declared unconstitutional by the Supreme Court,
a new act correcting for the Court's concerns was passed
in 1935. Critics pointed out the irony of reducing food
production in a society where children already went hungry.
Of course, those children's hunger did not represent "demand " in the marketplace. Indeed there were agricultural surpluses; as usual, the problem of the American farm was demand and distribution, not supply. "Acreage allotment" (the backbone of the crop reduction program) helped the largest and best capitalized farmers. It did little for smaller farmers and led to the eviction and homelessness of tenants and sharecroppers whose landlords hardly needed their services under a system that paid them to grow less. Further, it failed to address the fundamental problem of the Depression: weak consumer demand due to falling wages and unemployment. In the long run the effect of the AAA was beneficial to large operators.
The 1933 National Industrial Recovery Act (NIRA) set up the New
Deal's fundamental strategy of centralized planning as a means
of combating the Depression. Industrial sectors were encouraged
to avoid "cutthroat competition" (selling below cost to attract
dwindling customers and drive weaker competitors out of business)
which may have been good for individual businesses in the short-run,
but resulted in increased unemployment and an even smaller customer
pool in the long-run. The government temporarily suspended
enforcement of anti-monopoly laws and sponsored what amounted to
price-fixing as an emergency measure. Similar efforts were made
to stabilize wages within industries as well. Again, the basic
problem left unanswered was "overall weak consumer demand". The
NIRA did address this in a limited way with the Public Works
Administration which funded various public employment schemes;
however, the number of jobs created by the PWA were miniscule
compared to the number of jobless workers.
The "First" New Deal's Tennessee Valley Authority (TVA) reflected the future liberal methods of the "Second" New Deal. The TVA (1933) provided millions of dollars to transform the economies of seven depressed, rural Southern states along the Tennessee River. The program included dam-building, electric power-generation, flood and erosion control. It provided relatively high-wage jobs in construction in a region the president called "the nation's number one economic problem." Critics saw creeping socialism in this venture; liberals saw it as a successful example of government solving social and economic problems.
The Politics of Right and Left push and pull FDR toward the Left
The right-wing of American politics convinced Roosevelt he had nothing to lose on that end of the spectrum. Chief among his critics on the right was the Liberty League, a speaker's bureau funded by the Du Pont family and other business interests. The League leadership sought to fuse a partnership between the segregationist governor of Georgia Eugene Talmadge and other conservative leaders to create a grassroots opposition to the New Deal. Liberty League speakers toured the country accusing Roosevelt of instituting creeping socialism.
Right-wing radio personality Father Charles Coughlin denounced recipients of government assistance and claimed the New Deal led the country toward a Communist dictatorship. (He suggested Nazi Germany would prove to be America's correct model) and blamed the Depression on a Jewish conspiracy (when there's a lingering doubt give the Jews a clout). At the height of his popularity millions of Americans listened to his radio sermons each week.
This was a prime example of how the media of the time was used to propagandize the minds of the people to fulfill an agenda. (in this case it was right wing propaganda).
The Liberty League convinced Roosevelt that he had lost any hope of support from the business right and Coughlin's popularity convinced him that people must be suffering indeed to listen to such rhetoric. In a sense, both the Liberty League and Coughlin (for different reasons) pushed FDR further to the left.
Roosevelt was pulled toward the left by both the traditional Left (The Socialist Party of America) and the unconventional left (Dr. Francis Townshend and Sen. Huey P. Long of Louisiana). In 1932 the Socialists' presidential candidate Norman Thomas had tripled his 1928 showing as hard times rejuvenated the Socialist critique of the system. Nobody thought Thomas posed an electoral threat to FDR; the president was sensitive, however, to the Socialists' rising popularity.
Dr. Francis Townsend, a California physician, argued in favor of
a federally-funded old-age pension as a means of ending the Depression.
He argued that turning the nation's elderly population into robust
consumers would solve the underlying problem of weak demand. Dr.
Townsend's clubs began springing up across the country as his message
of care for the elderly meshed with people's desire for a rapid end
to the Depression.
The colorful senator from Louisiana, Huey P. Long, joined Roosevelt's critics on the left with his "Share Our Wealth" plan. Long proposed a guaranteed household income for each American family paid for by high taxes on the wealthiest Americans. Long's rising popularity (before his assassination in 1935) further demonstrated to FDR the discontent of the people. Convinced that Americans were suffering more than he had realized and believing he had already forfeited the support of the business right, FDR headed left in the "second" New Deal. (History 1302)
Now we know where the phrase "I was for it before I was against it" originally came from after FDR stuck his finger in the air to see which way the political wind was blowing.
Make no mistake about it, the Wall Street (International) Bankers were/are playing both sides (Left and Right) against the middle!
"NOVUS GLOBUS FUNDA" (New Global Foundation (Plantation))