The ABC of the NRA

By Charles L. Dearing; Paul T. Homan et al. | Go to book overview

CHAPTER V
THE PRESIDENT'S RE-EMPLOYMENT AGREEMENT

The work of the National Recovery Administration was opened with an intensive effort to establish codes of fair competition, particularly for the larger industries of the nation. The first code, that for the cotton textile industry, became effective July 17. Even before this code was approved it had become apparent that it might be desirable to call into play those parts of the Act which made more expeditious action possible. Work on the cotton textile code made it clear that the task of making proper preparation for code hearings was not simple, that much time was involved in giving all parties their day in court, and that hearings raised issues requiring deliberation. It became obvious that if the new law was to be administered in such a way as to improve greatly the unemployment situation before winter more speed was called for than seemed possible in individual code-making.

Moreover, during the first weeks after the passage of the Act the idea of developing "mass purchasing power," through higher wages, seems to have been prominent in the thinking of official circles. To make the effects significantly large appeared to require more or less simultaneous extension of the principle of higher wages to large areas of industry. To accomplish this

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