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The '''New Deal''' was the name coined by President [[Franklin D. Roosevelt]], a [[Democratic Party|Democrat]], for otherwise disjointed programs he conducted throughout the [[Great Depression]], especially from 1933-36. His program had three aspects: Relief, Recovery and Reform. It sought to provide immediate Relief for the millions of unemployed in the [[Great Depression]]. It was intended to promote Recovery of the economy to normal standards--a goal he did not fully achieve. It involved a series of Reforms, especially in the financial system and labor relations. The basic issue was how to deal with the severely damaged economy --and great social misery--caused by three years of the [[Great Depression]].  Conservatives endorsed parts of the '''First New Deal''' (the 1933 programs)  and rejected the more radical '''Second New Deal''' (the 1934-35 programs).   

The '''New Deal''' was the name coined by President [[Franklin D. Roosevelt]], a [[Democratic Party|Democrat]], for otherwise disjointed [[Socialism|socialist]] programs he conducted throughout the [[Great Depression]], especially from 1933-36. His program had three aspects: Relief, Recovery and Reform. It sought to provide immediate Relief for the millions of unemployed in the [[Great Depression]]. It was intended to promote Recovery of the economy to normal standards--a goal he did not fully achieve. It involved a series of Reforms, especially in the financial system and labor relations. The basic issue was how to deal with the severely damaged economy --and great social misery--caused by three years of the [[Great Depression]].  Conservatives endorsed parts of the '''First New Deal''' (the 1933 programs)  and rejected the more radical '''Second New Deal''' (the 1934-35 programs).   

   

   

In the spring of 1935, responding to the setbacks in the Court, a new skepticism in Congress, and the growing popular clamor for more dramatic action, the administration proposed or endorsed several important new initiatives. Historians refer to them as the "Second New Deal" and note that it was more radical, more pro-labor and anti-business than the "First New Deal" of 1933-34. The [[National Labor Relations Act]], also known as the '''Wagner Act''', revived and strengthened the protections of collective bargaining contained in the original (and now unconstitutional) NIRA. The result was a tremendous growth of membership in the labor unions comprising the [[American Federation of Labor]]. Labor thus became a major component of the New Deal political coalition.   

In the spring of 1935, responding to the setbacks in the Court, a new skepticism in Congress, and the growing popular clamor for more dramatic action, the administration proposed or endorsed several important new initiatives. Historians refer to them as the "Second New Deal" and note that it was more radical, more pro-labor and anti-business than the "First New Deal" of 1933-34. The [[National Labor Relations Act]], also known as the '''Wagner Act''', revived and strengthened the protections of collective bargaining contained in the original (and now unconstitutional) NIRA. The result was a tremendous growth of membership in the labor unions comprising the [[American Federation of Labor]]. Labor thus became a major component of the New Deal political coalition.   

Roosevelt nationalized unemployment relief through the [[Works Progress Administration]] (WPA), headed by close friend [[Harry Hopkins]].  It created hundreds of thousands of low-skilled blue collar jobs for unemployed men (and some for unemployed women and white collar workers).  Applicants for WPA jobs did not have to be Democrats, but their foremen quickly explained that Roosevelt created their paychecks and that conservative Republicans wanted to abolish the program.   

Roosevelt nationalized unemployment relief through the [[Works Progress Administration]] (WPA), headed by close friend [[Harry Hopkins]].  It created hundreds of thousands of low-skilled blue collar jobs for unemployed men (and some for unemployed women and white collar workers).  Applicants for WPA jobs did not have to be Democrats, but their foremen quickly explained that Roosevelt created their paychecks and that conservative Republicans wanted to abolish the program.   

The [[NYA|National Youth Administration]] was the semi-autonomous WPA program for youth. Its Texas director, [[Lyndon Baines Johnson]], later used the NYA as a model for some of his [[Great Society]] programs in the 1960s.

The [[NYA|National Youth Administration]] was the semi-autonomous WPA program for youth. Its Texas director, [[Lyndon Baines Johnson]], later used the NYA as a model for some of his [[Great Society]] programs in the 1960s.

In the very long run, the most important program of 1935, and perhaps the New Deal as a whole, was the [[Social Security Act]], which established a system of retirement pensions for people in the industrial sector (not including farmers or household workers) and unemployment insurance, as well as welfare benefits for poor families and the handicapped. It established the framework for the U.S. welfare system. Roosevelt insisted that it should be funded by payroll taxes rather than from the general fund; he said, "We put those payroll contributions there so as to give the contributors a legal, moral, and political right to collect their pensions and unemployment benefits. With those taxes in there, no damn politician can ever scrap my social security program."  With the [[Unified Budget Act]] <--source--> the Social Security Trust Fund was used to fiance the Vietnam War and Great Society programs.  The original payroll witholding was 1% of the workers gross income, with Roosevelt pledging it would never exceed 3%. Today it 6.2% and 12.4% for self-employed workers - one sixth of a workers lifetime earnings when Medicare is factored in.  The withholding is on the first dollar of income with no deductions or exemptions allowed to offset contributions, and a worker was no claim or control over the assets in his account.  If a worker dies before retirement, his estate has no claim on his lifetime contributions.   

 

In the very long run, the most important program of 1935, and perhaps the New Deal as a whole, was the [[Social Security Act]], which established a system of retirement pensions for people in the industrial sector (not including farmers or household workers) and unemployment insurance, as well as welfare benefits for poor families and the handicapped. It established the framework for the U.S. welfare system. Roosevelt insisted that it should be funded by payroll taxes rather than from the general fund; he said, "We put those payroll contributions there so as to give the contributors a legal, moral, and political right to collect their pensions and unemployment benefits. With those taxes in there, no damn politician can ever scrap my social security program."  With the [[Unified budget Act]] <-source-> the Social Security Trust Fund was used to fiance the Vietnam War and Great Society programs.  The original payroll witholding was 1% of the workers gross income, with Roosevelt pledging it would never exceed 3%. Today it 6.2% and 12.4% for self-employed workers - one sixth of a workers lifetime earnings when Medicare is factored in.  The withholding is on the first dollar of income with no deductions or exemptions allowed to offset contributions, and a worker was no claim or control over the assets in his account.  If a worker dies before retirement, his estate has no claim on his lifetime contributions.   

   

   

Social Security remains by far the single largest program driving the growth of [[National Debt]]; since it is value of [[labor]] that is withheld, the more people [[emjployment|employed]], the higher wages are paid. the more hours worked including overtime, all is added to the national debt as a promise by the federal government repay at some future date.  And given that it is labor driving the creation of federal debt, the national debt cannot be paid down by labor.  This is refered to as the "structrual flaw" in the original Social Securioty Act.  Further, FDR's assertion that "no damn politician can ever scrap my social security program" would not withstand a Constitutional challenge.  In American people are born free, and no politician can the pledge that some future Congress elected by free citizens can refuse to honor the promises to pay seniors given that benefits are paid out from current workers earnings on a "pay as you go" basis, and are not held in a trust fund.  

Social Security remains by far the single largest program driving the growth of [[National Debt]]; since it is value of [[labor]] that is withheld, the more people [[emjployment|employed]], the higher wages are paid. the more hours worked including overtime, all is added to the national debt as a promise by the federal government repay at some future date.  And given that it is labor driving the creation of federal debt, the national debt cannot be paid down by labor.  This is refered to as the "structrual flaw" in the original Social Securioty Act.  Further, FDR's assertion that "no damn politician can ever scrap my social security program" would not withstand a Constitutional challenge.  In American people are born free, and no politician can the pledge that some future Congress elected by free citizens can refuse to honor the promises to pay seniors given that benefits are paid out from current workers earnings on a "pay as you go" basis, and are not held in a trust fund.  

   

   

One of the last New Deal agencies was the [[United States Housing Authority]], created in 1937 with some Republican support to abolish slums.

One of the last New Deal agencies was the [[United States Housing Authority]], created in 1937 with some Republican support to abolish slums.

===Defeat: Court Packing and Executive Reorganization===

===Defeat: Court Packing and Executive Reorganization===