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Summary Well-meaning, FDR took government to record heights of spending. The extent of years of anti-business policy would lead to welfare-based dependency. Chapter He never ran a business, scoffed at commerce, blamed the whole Depression on financial errors, claimed the businessman was "stupid." This was FDR. "New Deal" defined his reckless, knee-jerk repertoire of programs giving people's jobs to government instead of letting private business implement solutions. Franklin Roosevelt's men were "Keynesian" (big spending), making government custodian of human needs. In Roosevelt's first "One-Hundred Days" this social-minded rule expanded in a blaze of alphabetic glory: A.A.A. for farm reform, and T.V.A. for dams; another arm of government was job creation: C.C.C. (Civilian Conservation Corps), its guarantee of work apparent in the welfare atmosphere of Public Works, Works Progress, and a most severe pro-union Act of "National Recovery": along with price controls, its generosity to unions gained a lot of votes. But C.I.O. (a union group) upheavals hurt the status quo, and so the Wagner Act for Labor-Management Relations came to be the latest testament to government intrusion, rampant spending, waste. With all the welfare options, there was little haste to kindle business competition. Overall, New Deal enactments did some good -- the overhaul of banks and stocks, the unemployment rate was down. But long-term flaws leave FDR in less renown: his spending added debt and raised the deficit; gave people (mostly blacks) the faulty "benefit" of welfare. Painfully, another consequence of central power was the sale of influence to business. Yet, with "fireside chats," and nothing feared but "fear itself," the wily President appeared relaxed and confident. But soon, by '39, as Dorothy, Oz, and Rhett and Scarlett built a shrine to Hollywood and people clung to fantasy, the voters sensed an FDR autocracy, and business leadership was looking to restore its role as we began preparing for a war. |