same month, Congress passed the Federal Communications Commission (FCC) to regulate radio and telegraphs.
In less than two full years, Franklin Roosevelt achieved more landmark legislative accomplishments than most Presidents had in two terms. He was just getting started.
Supreme Court Resistance to the Second New Deal
The American public was pleased with FDR's actions and awarded him with even larger Democratic majorities in the House and Senate in the 1934 Midterm Elections. However, entering 1935, the First New Deal had only had a small effect on economic recovery: unemployment fell from a high of 25% when Roosevelt was inaugurated to just over 20% by 1935. While it was improvement, the economy was far from bustling again.
In an effort to improve economic conditions, FDR crafted the Second New Deal in an attempt to offer long-term security to the elderly, disabled, unemployed and others in need. The aim of the First New Deal had been merely to stimulate the economy, but the Second New Deal sought to ensure long-term stability.
The Second New Deal was not devoid of stimulus funding, however. One of its first major achievements was the Works Progress Administration (WPA), which employed artists and writers to bring their talents to small towns. More aid was brought to small towns through the Rural Electrification Administration, which brought power to places not served by private companies.
In May of 1935, the Supreme Court dealt FDR’s New Deal legislation its first of many defeats when it declared the National Industrial Recovery Act (NIRA) unconstitutional. The following year, it found the Agricultural Adjustment Act unconstitutional as well. During his first term, Roosevelt felt he didn't have a sufficient mandate to take on the court effectively, thus resigning himself to attempting to work around it.
Despite these setbacks, Roosevelt and Congress steamrolled ahead with more major accomplishments. The most important of these were the National Labor Relations Act, the Social Security Act and the Revenue Act.
The Labor Relations Act created the National Labor Relations Board (NLRB), which ensured the right of labor to organize and bargain collectively. This was another piece of legislation influenced heavily by Roosevelt's former opponents in Tammany Hall. The Social Security Act created modern-day Social Security. At the time, it guaranteed a pension for Americans age 65 and over, set up unemployment insurance and assisted states with giving aid to needy citizens, including the disabled.
Apart from reinvigorating the economy, Roosevelt also signed the Neutrality Act in the summer of 1935. The Act prohibited American companies from shipping weapons to belligerents during wartime. Though war had not yet broken out in Europe, Roosevelt's extensive knowledge of the European scene led him to foresee war on the continent.
Winning Reelection and Packing the Court
Roosevelt was reelected in 1936 by an even larger and even more historic margin than he had in 1932. In 1936, President Roosevelt carried every state in the Union except Vermont and Maine, winning 523 electoral votes to his opponent's 8. Roosevelt carried more than 60% of the popular vote, the most of any President in history at the time.
Roosevelt, however, quickly squandered this landmark mandate by taking on the Supreme Court. Frustrated by the Court’s opposition to much of his legislation, Roosevelt crafted the Judiciary Reorganization Bill of 1937, which would have allowed him to name an additional Justice for every Justice on the Supreme Court over 70 years old who did not plan to retire within half a year. FDR was very nakedly seeking to remake the court so that it would not continue to overturn important New Deal legislation like NIRA.
Known as Roosevelt’s attempt to “pack the court,” the proposed legislation was an utter debacle, and it met with strong
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