First New Deal

    Cards (5)

    • FERA: Federal Emergency Relief Act

      $500 million for states to spend on relief
      • took a long time to set up
      Second New Deal: Harry Hopkins (Head of FERA) recognised Americans were freezing to death because of terrible conditions unemployment had left them in, so set up the CWA (Civil Works Administration)
      • $400 million spent on Civil Works projects, for example building new schools
      This saved 4.2 million people who were suffering badly from unemployment.
    • HORA: Home Owners Refining Act
      Extended mortgage payments - 20 years rather than 5
      Reduced monthly payments
      • This made it easier for 1 million people to keep their homes.
    • PWA: Public Works Administration
      Given $3.3 billion of federal money to spend on big construction project - create jobs for workers
      • However many who were unemployed were in desperate positions and could not wait for these construction projects to be set up (needed immediate relief)
      • FERA recognised that if little had begun by winter, Americans may freeze to death.
    • CCC (in terms of unemployment rather than agriculture): Civilian Conservation Corporation
      Took unemployed men into the countryside and gave them tough outdoor jobs for $30 dollars a month.
      They took part in trail building, reservoir digging, etc.
      • Like with the PWA, these big construction projects took a while to get started
      • Applied only to 17-23 year olds
      (Only 500,000 men taking part by 1935)
      However this was a popular and successful project, money earned by the men was sent back home to their families so that they could benefit from the scheme too.
    • TVA: Tennessee Valley Authority
      Federal planning agency for the south.
      3 Main Ideals:
      1. Provide work
      2. Generate and extend electricity
      3. Control flooding